Binding arbitration is a method of resolving disputes outside of the court system, where an impartial third party, known as an arbitrator, makes a decision that both parties agree to accept as final and enforceable. This process is often utilized in labor disputes to streamline negotiations between employers and employees, especially when trade unions are involved. It aims to provide a faster and less costly alternative to traditional litigation, ensuring that both sides adhere to the resolution without the option for appeal.
congrats on reading the definition of binding arbitration. now let's actually learn it.