Kent and Turner get into an argument over the money Turner had loaned Kent. They decide to allow Erika, their friend and a professor, to make a decision. Turner and Kent agree to abide by whatever decision Erika makes. This is an example of _____.
A) a negotiated settlement
B) compensatory damage
C) arbitration
D) specific performance
E) a rescission

Question

Quizplus · Accepted Answer

Arbitration is when the parties agree to abide by the decision of a neutral third party or parties.

Kent and Turner Get into an Argument Over the Money