Attorney Client Arbitration Program Permits Parties to Arbitrate Disputes after Exhausting Rights under Business and Professions Code
The dust has settled, and what has emerged is a post-arbitration alternative to trial de novo—The alternative is binding arbitration through the Los Angeles County Bar Association’s Attorney Client Arbitration Program.
Previously, a party unhappy with the mandatory arbitration result would submit a rejection of the arbitration award with the local bar association and proceed to court for final resolution of the dispute.
Since the issuance of the Schatz decision, parties can request that the court enforce the arbitration agreement and order the parties into binding arbitration instead of trial de novo. The proceeding, based upon court order, ends up at an organization named within the agreement.
LACBA’s Attorney Client Arbitration Program permits parties to arbitrate disputes after exhausting the rights afforded them under Business and Professions Code Secs. 6200-6206. LACBA has more than 30 years of experience in resolving fee disputes, and the cost is affordable—The only fee charged to the parties is the arbitrator’s hourly rate that they share, unless the agreement otherwise states. The rules are straightforward, and the arbitrators handling these matters have the expertise necessary to resolve trial de novo issues in an arbitral setting.
Parties may initiate arbitration through the Attorney Client Arbitration Program in one of the following ways:
Most attorneys deal with the resolution of fee disputes using a clause in the retainer agreement. The organization referenced in the clause is what the court considers when ordering a matter into arbitration. Attorneys can add the following clause to their retainer agreement to use the Attorney Client Arbitration Program to handle fee disputes. The following clauses deal with disputes related to mandatory arbitration and post-mandatory fee arbitration:
(a) MANDATORY FEE ARBITRATION
(b) BINDING ARBITRATION
To take advantage of the Attorney Client Arbitration Program or to obtain more information, call (213) 896-6426.