Assembly backs bill making neutral arbitrators the default in arbitration proceedings
Lawmakers passed legislation defining a 'neutral third-party arbitrator' and making neutrality the default; sponsors said it prevents biased outcomes while critics warned it could increase litigation and undermine established arbitration practices.
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The Assembly approved a bill that defines a "neutral third party arbitrator" and makes neutral arbitrators the default in arbitration matters. Sponsors said the change promotes fairness by requiring disclosure of direct or material interests and substantial relationships with parties or counsel; the bill also imposes an ongoing disclosure obligation during the proceeding.
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