Binding arbitration is a method of handling disputes between investors and stockbrokers.

Question

Quizplus · Accepted Answer

Binding arbitration is a commonly used method of resolving disputes between investors and stockbrokers. It involves the selection of a neutral third-party arbitrator or panel of arbitrators who have the power to hear evidence, make decisions, and issue awards. This process is often less costly and time-consuming than going to court, and the decisions made in binding arbitration are typically final and enforceable.

Binding Arbitration Is a Method of Handling Disputes Between Investors