The Rhode Island Supreme Court recently issued an opinion that discusses when an arbitration award is allowed to stand. This is important for accident victims because many insurance policies include an arbitration provision. Arbitration may be required instead of traditional judicial proceedings under your policy. The difference between traditional legal remedies and arbitration is that generally arbitrations have more relaxed rules and are more informal. However, the most notable difference as shown by this case is that it is much more difficult to appeal an arbitration award than it is to appeal a judge’s verdict. In fact, that is one of the selling points of arbitration since the case comes to a final conclusion much sooner and thus it is usually much less expensive than traditional litigation. Even though arbitration is less formal than courtroom proceedings, it is still important to hire a knowledgeable Rhode Island insurance attorney to handle your case.
Facts of the Case
An employee of the Providence Water Supply Board (PWSB) was driving her employer’s vehicle when she got into an accident. The other driver was determined to be at fault. Since Rhode Island is a fault state, the driver who is responsible for the accident is required to pay damages to the other driver.