arbitration

American  

[ahr-bi-trey-shuhn] / ˌɑr bɪˈtreɪ ʃən /

noun

• arbitrations
  plural

1. the hearing and determining of a dispute or the settling of differences between parties by a person or persons chosen or agreed to by them.

   Rather than risk a long strike, the union and management agreed to arbitration.

2. International Law. the application of judicial methods to the settlement of international disputes.

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arbitration British  

/ ˌɑːbɪˈtreɪʃən /

noun

1. law the hearing and determination of a dispute, esp an industrial dispute, by an impartial referee selected or agreed upon by the parties concerned

2. international law the procedure laid down for the settlement of international disputes

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arbitration Cultural  

1. The settling of disputes (especially labor disputes) between two parties by an impartial third party, whose decision the contending parties agree to accept. Arbitration is often used to resolve conflict diplomatically to prevent a more serious confrontation.

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Usage

What does arbitration mean? Arbitration is a process in which two parties in a dispute use an independent, impartial third party to settle the dispute, often by making a decision that they both agree to. For a process to be considered arbitration, it must involve an impartial third party, which can be a single person or a team of people. This person or team is called an arbitrator. To act as this arbitrator is to arbitrate. Arbitrate can also mean to engage in arbitration, as in If we can’t come to an agreement, we may need to arbitrate. The term arbitration is especially used in the context of negotiations between businesses and labor unions. When the two sides can’t agree and negotiations are unproductive, they may seek to pursue arbitration by bringing in an arbitrator. An arbitration process in which the arbitrator’s decision must be accepted by both parties is sometimes called binding arbitration—meaning the arbitrator’s decision is final and legally binding. Example: After weeks of negotiations stalled and resulted in an impasse, the two sides agreed to enter arbitration.

Synonym Usage

See mediation.

Other Word Forms

Derived Forms

• arbitrationist
  noun
• proarbitrationist
  noun
• rearbitration
  noun
• arbitrational
  adjective
• proarbitration
  adjective

Inflected Forms

Nouns

• arbitrations
  plural

Etymology

Origin of arbitration

First recorded in 1350–1400; Middle English, from Latin arbitrātiōn- (stem of arbitrātiō ), equivalent to arbitrāt(us) ( see arbitrate) + -iōn- noun suffix; see -ion

Explanation

When an uninvolved, impartial person is called in to help settle a dispute, it's called arbitration. The person in charge of the arbitration acts like an official referee, helping both sides come to an agreement. The noun arbitration comes to English via the Latin word arbitrari, meaning "to judge." In English, arbitration is both the process of using an arbiter to settle a dispute and the act of that arbiter making a judgment. Many parents know that if the arbitration of your kids' argument was deemed unfair by both kids, you've usually made the right decision.

Example Sentences

See Examples For:

arbitration arbitrations

Mahender Makhijani, who was ordered to pay $1.34 billion in a Laguna Beach real estate arbitration, pleaded not guilty Monday to federal bank fraud charges in a separate criminal case.

From Los Angeles Times ● Aug. 19, 2026

The Clippers can request arbitration if they oppose the findings.

From Los Angeles Times ● Aug. 17, 2026

Schwartz filed for relief in arbitration, where StubHub eventually settled.

From The Wall Street Journal ● Aug. 11, 2026

A consumer-protection attorney filed arbitration demands against Whatnot, alleging the platform operates as an unregulated casino.

From The Wall Street Journal ● Aug. 7, 2026

Employers eventually agreed to government arbitration to end the strike.

From "Fannie Never Flinched" by Mary Cronk Farrell

He said the NFL planned “to move forward promptly with arbitrations as directed by the Court and to seek to dismiss the remaining claims.”

From Washington Times ● Mar. 1, 2023

So-called "mass arbitrations," where hundreds or thousands of people file similar individual claims, can cost companies millions of dollars in fees alone.

From Reuters ● Feb. 3, 2023

Harvey has served as Goodell’s designee in other arbitrations, and he’s a member of the league’s Diversity Advisory Committee, created to improve racial and gender diversity across the NFL.

From Seattle Times ● Aug. 5, 2022

The company almost never loses workplace arbitrations, though it was hit with a $1-million award in May in a case brought by another ex-worker that was similar to Diaz’s.

From Los Angeles Times ● Oct. 5, 2021

The system of arbitrations adopted by the act is based on unionism.

From The Settlement of Wage Disputes by Herbert Feis

Related Words

• adjudication
• compromise
• mediation