Dorsey attorneys Christopher Karagheuzoff and Eric Epstein address in the New York Law Journal the role standing arbitrators can play in commercial transactions. A "standing arbitrator" is appointed at the outset of a contract (i.e. prior to any specific dispute arising) to resolve disputes that may arise through the life of the contract.
Karagheuzoff and Epstein suggest that the appointment of a standing arbitrator can promote better dispute resolution by resolving disagreements before they escalate to a point where they interfere with productive work under the contract or otherwise harm the working relationship. After reviewing applicable New York law and arbitration panel provisions, they provide a checklist of factors in a commercial transaction that weigh in favor of a standing arbitrator appointment.
The complete (PDF) article is available for download here.
"Use of Standing Arbitrators in Commercial Transactions" was published by the New York Law Journal, February 5, 2008. Republished with permission.