It's essentially a private court, where the parties ask a third party to quickly and cheaply settle a disagreement.
When used responsibly, it's great.
It's bad when a corporation requires arbitration (at the arbiter they choose -- which is a conflict of interest) and bans using the public government court system, as part of the terms of service of the product.
When used responsibly, it's great.
It's bad when a corporation requires arbitration (at the arbiter they choose -- which is a conflict of interest) and bans using the public government court system, as part of the terms of service of the product.