Business
Question 1
Arbitration has become an effective and rapid mean to solve problems by finding appropriate solutions for any disputes between the trade partners. The judgments of the arbitrators along with their decisions are straightforward and neutral as they tend to maintain due process and protection against anti-discrimination. Due to which, organizations across the globe tend to focus highly on the use of arbitration to overcome their issues. For instance, a North-American software developer registered for trademark for communication software in United States and Canada. On the other hand, a computer hardware manufacturer had registered for identical trademark in variety of Asian countries. In order to overcome the legal proceedings across the globe, both the parties entered in co-existence agreement on arbitration. To maintain due process and to focus highly on anti-discrimination, the arbitrator granted the hardware manufacturer for the license in North America with a dominant and appropriate obligation towards the software manufacturer i.e. to provide the software manufacturer with periodic reports of the hardware manufacturing company (WIPO, n.d.).
Question 2
Interest arbitration could be regarded as the process that focuses highly on resolving issues between the employer and the union that were unable to be resolved within the first 90 days of conflict. The use of interest arbitration is a clumsy approach due to the uncertainties and delays with the approach. In particular, the risk of uncertainty and delays could do the organization serious damage as reaching decision under this approach may take 15 months. This reflects that the uncertainty over the future wages and working conditions would restrict the organization in terms of recruitment to meet the changes in the marketplace effectively or to accomplish the desired organizational goals effectively and efficiently (Kersey, and Sherk, 2007).
Interest arbitration has been seriously criticized over the years due to its intrusion in the private business affairs of the organization. In order to avoid the use of this approach, the private sector tends to focus highly on aggressive tactics (i.e. lockout) to enforce the union for settlement. This were some of the reasons due to which the use of this approach i.e. interest arbitration is infrequently observed in the private sector (Jackson Lewis, 2008).
References
Jackson Lewis. (2008). Mandatory First Contract Interest Arbitration. Retrieved August 2, 2013 from http://www.jacksonlewis.com/legalupdates/article.cfm?aid=1511
Kersey, P., and Sherk, J. (2007). Interest Arbitration: Risky for Unions and Employers. Heritage, Retrieved August 2, 2013 from http://www.heritage.org/research/reports/2007/03/interest-arbitration-risky-for-unions-and-employers
WIPO. (n.d.). WIPO Arbitration Case Examples. Retrieved August 2, 2013 from http://www.wipo.int/amc/en/arbitration/case-example.html
