Arbitration and What It Means For Document Preservation

By: Andrew Case

Before inking the contract, you did everything a general counsel should do: You got a good handle on the relationship between your company and the other party, you consulted with outside counsel about traditional and alternative dispute resolution mechanisms, and you asked the appropriate division manager within your company what disputes might crop up during the project. Concerned about keeping your legal spend in check, you opted for an arbitration clause with a pre-arbitration mechanism requiring senior executives on both sides to meet and negotiate in good faith before proceeding to arbitration. According to your outside counsel, yours was the gold standard in dispute resolution provisions: effective, efficient, and sure to avoid the time-consuming, unpredictable and distracting vicissitudes of litigation.