Understanding the Arbitrators Code of Ethics: A Comprehensive Guide

Definition & Meaning

The Arbitrators Code of Ethics is a set of guidelines that outlines the expected conduct and ethical responsibilities of arbitrators involved in commercial disputes. Developed in 1977 by a joint committee from the American Arbitration Association and the American Bar Association, this code serves as a framework for ethical behavior in arbitration. It is important to note that these guidelines do not apply to mediation or conciliation processes and are not part of the official arbitration rules of the American Arbitration Association or any other organization.

Table of content

Real-world examples

Here are a couple of examples of abatement:

Example 1: An arbitrator is selected to resolve a commercial dispute between two companies. They disclose a prior business relationship with one of the parties and recuse themselves to maintain impartiality.

Example 2: An arbitrator receives confidential information during the proceedings. They ensure that this information is not disclosed to any outside parties, adhering to the confidentiality requirement of the code. (hypothetical example)

State-by-state differences

State Key Differences
California Has specific statutes addressing arbitrator disclosure requirements.
New York Emphasizes the importance of arbitrator neutrality in its arbitration laws.
Texas Includes provisions for challenging arbitrators based on ethical violations.

This is not a complete list. State laws vary, and users should consult local rules for specific guidance.

Comparison with related terms

Term Definition Differences
Arbitration A method of resolving disputes outside of court. Arbitration is the process, while the code governs the conduct of arbitrators.
Mediation A voluntary process where a neutral third party assists in reaching a settlement. The code does not apply to mediation, as it is focused on arbitration.

What to do if this term applies to you

If you are involved in an arbitration process, it is crucial to understand the ethical standards that govern the arbitrators. Ensure that your arbitrator adheres to the Arbitrators Code of Ethics. If you have concerns about impartiality or conduct, consider discussing these issues with legal counsel. For assistance, you can explore US Legal Forms for templates and resources that can help you navigate arbitration effectively.

Quick facts

  • Typical fees: Varies by arbitrator and complexity of the case.
  • Jurisdiction: Applicable in commercial arbitration across the United States.
  • Possible penalties: Violation of the code can lead to removal from the arbitration panel or legal action.

Key takeaways

Frequently asked questions

It serves as a guideline for the ethical conduct of arbitrators in commercial disputes.