Which of the following best describes the outcome of binding arbitration?

Which of the following best describes the outcome of binding arbitration?

• A. Decisions can be appealed
• B. Both parties must abide by the decision
• C. It requires further evidentiary hearings
• D. Parties can withdraw anytime

Answer: (B)

The outcome of binding arbitration is best described by the requirement that both parties must abide by the decision. In binding arbitration, a neutral third party makes a decision after hearing evidence and arguments from both sides. This decision is final and enforceable, meaning that the parties involved cannot appeal the ruling or refuse to comply. This aspect of binding arbitration is designed to provide a conclusive resolution to a dispute without the prolonged process of litigation. In contrast, other options describe characteristics that do not apply to binding arbitration. For instance, the possibility of appealing decisions, the need for further hearings, and the ability for parties to withdraw at any time do not align with the nature of binding arbitration, as it is intended to resolve conflicts definitively.

The outcome of binding arbitration is best described by the requirement that both parties must abide by the decision. In binding arbitration, a neutral third party makes a decision after hearing evidence and arguments from both sides. This decision is final and enforceable, meaning that the parties involved cannot appeal the ruling or refuse to comply. This aspect of binding arbitration is designed to provide a conclusive resolution to a dispute without the prolonged process of litigation.

In contrast, other options describe characteristics that do not apply to binding arbitration. For instance, the possibility of appealing decisions, the need for further hearings, and the ability for parties to withdraw at any time do not align with the nature of binding arbitration, as it is intended to resolve conflicts definitively.