Why US startups should use online arbitration with an international seat

This blog entry will first provide some basic reasons why businesses should use arbitration, and then provide specific reasons why US startups should locate their arbitration outside their country using an online arbitration process.

First the reasons for arbitration:


Court cases take time, even for disputes that are relatively simple or over small amounts of money. You should use an arbitration process with rules from an institution that allow you to flexibly resolve disputes faster. If your arbitration is managed properly, you could get results in a third of the time required in court proceedings.


Litigation in court can be extraordinarily expensive, even in the preparation until the day before you get to court. This is over and above the time you sit waiting for money owed to you to come in. This  high cost adds unnecessary stress to your business life and may scare you away from actually making claims. Your arbitration, properly designed or using good institutional rules, could be streamlined to avoid costly courtroom-style procedures. A properly designed arbitration process will prevent you getting muscled out by a party that is much richer than you. Continue reading “Why US startups should use online arbitration with an international seat”