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

Insurers have challenged about 40% of claims by providers as ineligible for arbitration under the no surprise law, usually because they involve elective procedures.

From The Wall Street Journal ● Jul. 23, 2026

The law established baseball-style arbitration to resolve payment disputes between out-of-network providers and insurers.

From The Wall Street Journal ● Jul. 23, 2026

For 2025, total payouts under the arbitration process reached $14.85 billion, according to a Journal analysis of new, previously unreleased data from the Centers for Medicare and Medicaid Services.

From The Wall Street Journal ● Jul. 22, 2026

However work stalled after a dispute with insurers, resulting in a long-running arbitration claim.

From BBC ● Jul. 22, 2026

They discussed and debated and raved and ranted until they were on the verge of blows, when it was decided to submit the question to arbitration by the princesses.'

From "The Phantom Tollbooth" by Norton Juster

“We have many arbitrations pending with UAW right now. So they absolutely have other mechanisms for resolving this conflict,” said Matella.

From Los Angeles Times ● May 31, 2024

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

For that reason, such mass arbitrations make financial sense only when customers can expect to collect at least $1,000 or so apiece in compensation.

From New York Times ● Dec. 19, 2022

Copper riots and felonies of all descriptions, disputes as to tithe, and arbitrations as to the modes of counting the herrings, sank out of sight in prospect of the trial of Dan and his crew.

From The Deemster by Caine, Hall, Sir

Related Words

• adjudication
• compromise
• mediation