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One of the most common myths about civil lawyers is that they spin cases out as long as possible in order to make more money from their clients. In reality, the interests of solicitors – as well as their clients – dictate that they provide legal representation that offers the best chance of satisfaction with relative swiftness. It is on this policy that reputations are earned, and is why practices such as McKay Norwell have done so well.
This firm boasts a number of excellent and experienced practitioners with a proven track record of successfully acting for clients in court when such an action becomes absolutely necessary. However, this is usually seen as a last resort, and our team will always try to avoid involving a client in all the stress and expense of litigation if a good result can be achieved out of court.
It is for this reason that we welcome the Arbitration (Scotland) Act 2010, which became law in June 2010. Arbitration, a process whereby the parties refer a dispute to an agreed expert (an arbiter or arbitrator) rather than a judge, has been a recognised alternative to court action for many years. It appears that the new Act will have the benefit of making the process much simpler and more transparent than before, and will give increased powers to arbiters so that rulings can be enforced as intended.
Typical uses of arbitration up to now have been cases such as building disputes (either involving a property-owner and contractor or between neighbours) or former partners in a business who subsequently fall out over working practices, division of assets, and company strategy. These disputes tend to involve people for whom the court process could be extremely expensive, and for whom arbitration is a welcome alternative. Nevertheless, arbitration will work only when there is goodwill and a genuine desire for compromise on both sides. Sadly, some litigants (whatever the advice of their lawyer) dig themselves into such an entrenched position that going before a judge becomes the only option.
Arbitration, perhaps even under the terms of the new Act, should not be seen as a panacea. There are still costs involved (e.g. the arbiter’s fee for a start) and in less complicated actions (where either the pursuer or defender has a clear chance of success) going to court may be the most advisable course of action.
On balance, however, the Arbitration (Scotland) Act 2010 is to be welcomed. Like most new legislation it will take time to “settle” and the extent of its benefits will only be proven with time. Meanwhile, the experienced team at McKay Norwell will keep a close eye on its progress so as to maintain our policy of providing clients with practical, cost-effective and up to date legal advice.
If you have any queries about Arbitration, do not hesitate to contact John Mitchell, Richard Godden, Ann Scott, or Douglas Peters on 0131 222 8000.
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