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ARBITRATION
Arbitration is an adjudicatory process in which a neutral third party(s) is empowered to render a final and binding decision after hearing all of the evidence, arguments, and proofs of the disputing parties. Some arbitration clauses provide for the appointment of two party-appointed Arbitrators and a third neutral Arbitrator appointed by those two. Other arbitration clauses provide for the appointment of one or three neutral Arbitrators. Arbitration is binding in virtually all contractual arbitration settings and in a limited number of cases is advisory in nature. Many contracts provide for binding arbitration as the sole and exclusive remedy available to the parties.

FINAL OFFER ARBITRATION
Final Offer Arbitration (also referred to as "Baseball Arbitration") is an adjudicatory process in which the Arbitrator(s) is empowered to choose between the final settlement positions offered by the parties. In final offer arbitration the Arbitrator(s) convene hearings, consider evidence and proofs from the parties, and thereafter, render a final decision which awards one or the other of the final positions offered by the parties.

HIGH-LOW ARBITRATION
High-Low Arbitration is an adjudicatory process in which the parties set a minimum and maximum range for the Arbitrator's decision. If the final award comes in above the maximum or below the minimum range the award is automatically adjusted to the maximum or the minimum figure. If the Arbitrator's award falls in between the two figures that figure becomes the exact amount awarded. In some cases the Arbitrator is advised of the parties' high-low agreement and in other cases the high-low arrangement is not disclosed to the Arbitrator.

INTEREST ARBITRATION
Interest Arbitration is an adjudicatory mechanism in which two or more parties submit unresolved contractual negotiation issues to a panel of Arbitrators made up of two party-appointed Arbitrators and a third neutral Arbitrator. The panel of Arbitrators, after having heard the proofs of the parties, is authorized by the parties agreement (and often by statute) to render a final award which establishes the final terms of the contract or collective bargaining agreement.