Litigation is a time-consuming and costly process that utilizes the public judicial system to resolve disputes. Consensual arbitration is an alternative method of dispute resolution recognized by the Civil Code of Québec and the Code of Civil Procedure. It is an alternate dispute resolution process whereby the parties confer on one or more persons, the arbitrator(s), the power to resolve a dispute by making a decision which in principle is final, binding and enforceable, just like a court judgment. The ultimate benefit to resort to arbitration is the rapidity to obtain a decision which can be quickly approved and constitute a judgment.

The new version of the Code of Civil Procedure which will come into force in autumn 2015, is intended to make the civil justice system more accessible, while protecting the rights of all parties. To reduce delays in the justice system, it “gives priority to amicable dispute resolution processes such as mediation, arbitration and conciliation, which are less confrontational, more accessible and more likely to ensure a quick outcome”. The parties will be obliged to consider the use of alternative modes of prevention and settlement of their dispute before introducing a motion in front of the Court of Quebec and the Superior Court.

Experience teaches us that arbitration is an effective and less expensive way to resolve disputes of any kind3 , avoid recourse to the courts and quickly end a dispute in all confidentiality and respect of your rights. A few months or even weeks are usually enough to obtain a decision.

An arbitration clause is a stipulation in a contract that requires the parties to resolve their disputes through an arbitration process. The costs of arbitration vary depending on the complexity of the case and the length of the process. They can be shared between the two parties, by mutual agreement. Otherwise, the arbitrator will determine the costs for each party.
3Except for family matters, issues relating to the status or capacity of persons and issues interesting the public order.