An arbitrator is a neutral third party who helps resolve disputes between two or more parties through arbitration, which is a form of alternative dispute resolution (ADR). Unlike a judge in a courtroom, an arbitrator does not work for the state but is selected by the parties involved in the dispute. The primary function of an arbitrator is to listen to both sides of a dispute, review the evidence and testimony, and make a decision that is legally binding. This decision is referred to as an arbitral award.
Functions of an Arbitrator
Arbitrators perform several key roles to ensure that disputes are resolved fairly and impartially:
- Conducting Hearings
An arbitrator presides over hearings, where both parties present their arguments, submit evidence, and testify. The arbitrator ensures that all parties adhere to the agreed-upon rules of the arbitration process. - Making Decisions
After reviewing the case, an arbitrator makes a decision, which may include issuing monetary awards or ordering other remedies. These decisions are final and binding, offering the same legal weight as a court judgment. - Ensuring Rules Are Followed
Arbitrators ensure that the arbitration process follows the rules established in the arbitration agreement. This agreement often dictates how the arbitration will be conducted, including the selection of the arbitrator, the location of the hearing, and the arbitration rules to be applied. - Maintaining Neutrality
An arbitrator must remain impartial and neutral, without favoring any party. This is crucial to maintaining the fairness of the arbitration process.
Qualifications of an Arbitrator in South Africa
In South Africa, arbitrators are often legal professionals with advanced qualifications. They typically hold a Bachelor’s degree in Law or Political Science, along with practical experience in legal or dispute resolution fields. Strong communication and decision-making skills are essential for an arbitrator to assess evidence, evaluate testimonies, and ultimately make fair rulings.
Arbitration Agreement and Arbitrator Selection
The arbitration agreement between the parties involved plays a central role in the arbitration process. This agreement outlines the qualifications and selection criteria for the arbitrator, the arbitration rules, and the procedures to follow. It is important to ensure that the agreement specifies the criteria for selecting an arbitrator to ensure that the dispute is handled by someone with the appropriate expertise.
The Role of the CCMA in South Africa
In South Africa, the Commission for Conciliation, Mediation, and Arbitration (CCMA) is a key institution that facilitates arbitration in labor disputes. Established under the Labour Relations Act of 1995, the CCMA is responsible for resolving disputes between employees and employers, including matters related to unfair dismissals, disputes over wages, and working conditions.
Arbitrators appointed by the CCMA play an essential role in maintaining labor peace and promoting social justice. They ensure that workplace disputes are handled efficiently and in accordance with the Constitution of the Republic of South Africa, which emphasizes fairness in the workplace.
Why Choose Arbitration?
Arbitration offers several advantages over traditional court proceedings:
- Cost-effective: Arbitration is often quicker and less expensive than going to court.
- Confidential: Arbitration hearings are typically private, protecting sensitive business information.
- Binding: The decision made by an arbitrator is final and enforceable, similar to a court judgment.
In South Africa, arbitration is a popular choice for resolving workplace disputes, particularly in sectors governed by the CCMA.