What is the role of the third party in arbitration called?

• A. Adjudicator
• B. Arbitrator
• C. Mediator
• D. Judge

Answer: (B)

The third party involved in arbitration is called an arbitrator. This individual is responsible for reviewing the evidence and arguments presented by both parties in a dispute and making a binding decision based on the terms of the arbitration agreement and relevant law. The role of the arbitrator is crucial as they serve as a neutral party who facilitates the resolution of a conflict outside of court.

In contrast, a mediator helps facilitate communication and negotiation between disputing parties but does not make binding decisions. An adjudicator typically refers to someone who resolves disputes in a more formal judicial manner, often within a specific regulatory framework. A judge, on the other hand, operates within the formal court system and has a broader range of authority over legal matters. The distinct function of the arbitrator in the arbitration process specifically highlights their key role in resolving disputes efficiently and outside the conventional courtroom setting.