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Arbitration clause is contained. The term "third party" is being used to refer to someone who is. not named as a party in such an agreement, usually this person will also be a "non-signatory." Both a "non-signatory" and a "third party" may by application of various legal theories be found.

Definition. 1. Joinder (or “intervention”) allows a third-party to join an existing arbitral proceeding as claimant or as respondent, either at the request of an existing claimant 1 or respondent, 2 or by its own request.

The Supreme Court first described how a non-signatory can be bound by an arbitration agreement in Chloro Controls (2013). In that case, it held that the GOC Doctrine finds root in the words “claiming through or under a party” in Section 45 of the Arbitration Act.

Proceeding with Default: If the non-participating party's refusal prevents the arbitration process from proceeding, the party seeking resolution may have the option to pursue default proceedings, which can lead to a binding decision in their favor.

But there can be cases involving arbitration by non-signatories, both as claimants and respondents. Four primary bases on which non-signatories have been forced to arbitrate disputes in the United States are: assignment, third-party beneficiaries, alter-ego/veil-piercing, and estoppel.

Arbitration is an ADR process where the parties present arguments and evidence to an independent third party, the arbitrator, who makes a determination. Arbitration is particularly useful where the subject matter is highly technical, or where the parties seek greater confidentiality than in an open court.

Any disputes between you and discord will be handled privately. in meetings with the company. If those meetings fail, the dispute goes to arbitration. The process is private, which means the public has no way to review the evidence or results.

Arbitration?the out-of-court resolution of a dispute between parties to a contract, decided by an impartial third party (the arbitrator)?is faster and more cost effective than litigation. AAA cases are often settled prior to the arbitrator's decision?and nearly half of those cases incur no arbitrator compensation.

Third-Party Beneficiary: A nonsignatory may be compelled to arbitrate if considered an intended third-party beneficiary of a contract with an arbitration provision. Equitable Considerations: Courts may apply general principles of equity to bind a nonsignatory, based on the fairness of the situation.