Explain why there are concerns regarding the neutrality of dispute resolution firms

What will be an ideal response?

Some legal scholars are concerned about whether a dispute resolution firm can be truly unbiased when one of the parties to the dispute is a major client of the dispute resolution provider. For example, if an insurance company includes a binding arbitration clause in all its contracts and specifies that a particular dispute resolution firm will provide the arbitrator, it may be tempting for that firm to favor the insurance company to try to ensure that it will continue to benefit from the insurance company's business in the future. The more intense the competition among ADR providers, the more tempted the providers may be to favor large firms.

Business

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