Question: What are the differences between resolving a dispute through arbitration versus small claims court, and what are the implications of each in terms of process, cost, and outcome?

Answer: In a case where there is an arbitration clause in the agreement, if the matter is brought to a small claims court, the court is likely to dismiss the case and require the parties to proceed through arbitration. Arbitration is generally more efficient and quicker than small claims court, though it may involve higher initial filing fees. Once arbitration has been filed or confirmed, any judgments are enforceable by court, meaning the other party must satisfy the judgment. If the arbitration process is completed and the other party refuses to comply with the judgment, you may have to return to court to enforce the judgment.