Arbitration is a dispute resolution process in which a neutral third party—the arbitrator—reviews evidence, hears arguments, and renders a binding or non-binding decision based on the presented facts and applicable law. Unlike mediation, arbitration is typically more structured and can resemble a courtroom proceeding, though it remains less formal and more streamlined than litigation.

Arbitration is commonly used in commercial contracts, employment disputes, consumer agreements, and international conflicts, offering a private, efficient, and often faster alternative to traditional court proceedings while providing a definitive resolution to disputes.