Become an Arbitrator

An arbitrator is a type of neutral, like a mediator, conciliator, or negotiator. They listen to both sides in a dispute and render a decision that should be consistent with the laws affecting the dispute. Although arbitrators are neutrals trained in Alternative Dispute Resolution (ADR), they are distinct from other neutrals. Unlike a mediator, negotiator, or conciliator, an arbitrator’s decisions are binding—meaning they carry the force of law. As a result, the path to becoming an arbitrator is typically a more difficult one than becoming another type of ADR neutral.

Steps

Getting Your Start as an Arbitrator

  1. Check your state’s requirements. There are no national requirements for becoming an arbitrator, and the requirements vary widely by state. Thus, the specific steps you’ll need to take in order to become an arbitrator will be specific to the state in which you intend to practice.[1]
    • For example, a number of states, including Georgia, Illinois, and California, require arbitrators to be attorneys who have practiced for a certain number of years. Other states only require bachelor’s degrees.[2]
    • Theoretically, an arbitrator’s decision is supposed to be comparable to the decision a judge would render, and arbitrators who are registered with courts are invariably current or former attorneys.
  2. Complete the necessary educational prerequisites. Educational requirements to become an arbitrator are different from state to state. In all states, you’ll need a bachelor’s degree. In most states, you’ll need a graduate degree (typically in law or conflict resolution).[3]
    • In some states, you’ll need additional certification in ADR to enter practice as an arbitrator. This certification can usually be obtained through a law school or university ADR center.
    • Many types of arbitration are industry specific, such as labor arbitration, insurance arbitration, or financial arbitration. Arbitrators seeking to practice in a specialty area should seek training or certification by an industry accrediting body, including the American Bar Association, the Financial Industry Regulatory Authority, or the National Academy of Arbitrators (whose members handle workman’s compensation disputes). You can find a listing of training centers at http://www.americanbar.org/content/dam/aba/migrated/2011_build/dispute_resolution/usa_training.authcheckdam.pdf.
  3. Link up with local ADR community centers. Many cities and towns have community mediation centers. Although mediation is distinct from arbitration, they are both forms of ADR, and getting involved with community mediation centers is a good way to introduce yourself to your local ADR colleagues. You can find a listing at http://www.nafcm.org/search/custom.asp?id=1949
    • Most community mediation centers will sponsor free or low cost mediation for citizens in the area. Shadowing an experienced mediator or volunteering to mediate a decision under the supervision of an experienced ADR professional is a good way to gain the experience you will need to secure employment in the field of ADR.
  4. Find employment. There is no one way to find employment as an arbitrator. There are very few large firms practicing arbitration and nothing else. More commonly, an arbitrator works for a law firm, another group work for governmental agencies, while a smaller group work directly for insurance companies.[4]
    • Most solo practice arbitrators are registered with a court—whichever type of court would hear cases in the arbitrator’s specialty, usually a state civil court. These courts often impose their own requirements for arbitrators independent of the state requirements. If you plan on getting work through court sponsored referrals, be sure to check with the court for any additional requirements they may impose.
  5. Advertise your services. Many arbitrators operate independently or in partnership with one or two other arbitrators. While some arbitrate full time, many are in fact practicing attorneys who arbitrate disputes part time.One of the best ways to advertise your services is by taking out a listing with ADR organizations, like mediate.com. These are like reverse employment classifieds. Instead of the employer advertising for an open position, the arbitrator offers their services.

Obtaining Credentials with Respected Organizations

  1. Choose a specialty. Arbitration is basically a legal field, so it is important that a new arbitrator concentrate on a specific area of practice, such as insurance, labor-management relations, or family law. Since it is impossible to be an expert in every area of law, arbitrators who hold themselves out as general practitioners are less likely to find success than specialists.[5]
  2. Find an organization representing your specialty. Most of the arbitration specialty areas have their own professional organizations. These organizations uphold ethics standards, best practices, and offer certification and continuing education. Additionally, joining a professional organization is a great way to develop and expand your professional network.
    • Some examples of specialized organizations include the Financial Industry Regulatory Authority (FINRA), Society of Maritime Arbitrators (SMA), or the National Academy of Arbitrators (NAA). General professional associations for arbitrators include the American Arbitration Association (AAA) and the National Academy of Distinguished Neutrals (NADN).
    • Since arbitration is a new profession, it lacks a universal governmental credentialing process and has few established national guidelines. Therefore, joining professional organizations and developing extensive personal networks of colleagues in the field is even more important than it is in a typical profession. Unlike an attorney, for instance, there is no bar exam an arbitrator can take to prove his or her qualifications. For practical purposes, the arbitrator is only as qualified as their fellow arbitrators say they are.
  3. Determine the membership requirements. Some organizations, like the AAA and the NADN, only allow attorneys to join or be nominated. Others only allow individuals who have been arbitrators for a certain number of years and who have arbitrated a certain number of cases to join. Other organizations, such as FINRA, have more relaxed entry requirements, but mandate that all members take a course and a certification test.
    • While you might have to wait several years before you can join more prestigious organizations like the AAA, your career prospects can certainly improve when you do. If possible, start by joining a specialist organization with looser entry barriers, like FINRA, and use it to build your portfolio.
  4. Make sure the organization is useful to you. Since there is no national consensus with respect to an arbitrator’s qualifications, there are numerous organizations offering to “certify” students as mediators or arbitrators. It’s up to you, the prospective arbitrator, to make sure these organizations are worth joining. Some qualities to look out for include:[6]
    • Size. Unless the professional organization is extremely specialized (by subject or geography), it should have more than a few dozen members. Since one of the biggest reasons to join a professional association is to develop a diverse professional network, joining a small organization is will have dubious value.
    • Educational opportunities. Most professional associations offer Continuing Legal Education (CLE) classes to their members at discounted rates. Research the CLE opportunities the professional association offers and compare them with CLE opportunities at other professional associations. There should be a diverse array of useful classes that are offered both in person and online.
    • Reputation. Finally, ask fellow arbitrators, mediators, and attorneys if they consider the prospective organization a worthwhile one to join. With the advent of online message boards, it’s easier than ever to get the opinions of a wide array of people, but don’t neglect asking around locally. There might be reasons specific to your jurisdiction diminishing the value of joining a particular organization.

References