Compulsory arbitration is a simplified court process used by Pennsylvania courts to handle many types of civil cases. These cases are typically decided a panel of by three attorneys, called arbitrators, instead of a judge or jury. Most counties in Pennsylvania set $50,000 as the maximum amount of money that can be recovered in the case.

Compulsory arbitration is different than mandatory arbitration, which is a process required by many terms of service agreements or private contracts.

Here is a simple example:

If your case is filed in the compulsory arbitration division of the Court of Common Pleas in Allegheny County, your case will be heard by a panel of three arbitrators, instead of a jury. He case may proceed more quickly and in a less-formal manner. The maximum award you could receive would be $50,000.

How will a hearing proceed in compulsory arbitration?

The compulsory arbitration process is generally faster, cheaper, and less formal than cases proceeding in normal litigation. The plaintiff will file their complaint in the court and the defendant can respond. The parties can engage in some factual discovery; however the amount of discovery is often restricted. For example, the number of interrogatories may be limited and depositions may not be allowed unless there are compelling reasons otherwise. The court will set a hearing date. At the hearing, each side can present its evidence including records, photographs, bills, and reports from expert witnesses. Witnesses may testify and be cross-examined. The parties, or their attorneys can make arguments. The arbitrators will then discuss the case and make their decision.

Compulsory arbitration hearings proceed under relaxed rules of evidence which permits the hearing to be completed faster. These hearings can usually be heard in a matter of a few hours or less. The panel of arbitrators may even decide several cases in one day.

Who decides a compulsory arbitration case in Pennsylvania?

A panel of three attorneys will conduct the hearing and decide the case. These three attorneys are known as “arbitrators.” The arbitrators will hear the evidence and decide any arguments. The arbitrators can determine issues such as who is at fault and the amount of damages that should be awarded.

After the hearing, the arbitrators will issue their decision in writing, which is known as an “award.”

Is the arbitration decision final?

No, the decision is not binding. Any party may appeal the arbitrator’s award within 30 days. If there is no appeal within 30 days, then the decision becomes final.

Which cases typically go to compulsory arbitration?

Pennsylvania law allows county courts to require civil cases involving amounts in dispute within certain monetary limits to proceed in compulsory arbitration. In other words, if your case’s value is under a certain amount, it may be required to proceed in compulsory arbitration. Each county can set the amount. Most of Pennsylvania’s 67 counties set a ceiling of $50,000 on civil damage awards in compulsory arbitration. Some have a lesser amount.

What kind of cases may be decided in compulsory arbitration?

Almost all kinds of cases involving injuries or claims for damages can be heard in arbitration. Types of personal injury cases involving injuries that could be heard in compulsory arbitration would be:

• Car accidents

• Truck accidents

• Pedestrian accidents

• Motorcycle accidents

• Bicycle, e-bike, and e-scooter accidents

• Slip and fall accidents

• Dog bites and animal attacks

• Claims for breach of contract, including failure to pay auto insurance benefits

Other types of cases can be heard in compulsory arbitration, including breach of contract cases, cases for property damage, landlord-tenant cases, credit card cases. Certain types of cases cannot proceed in compulsory arbitration, such as criminal cases and family law cases.

Should my case proceed in compulsory arbitration?

If you have an attorney, you should discuss this with your attorney. Factors to consider include:

• the value of the case

• the cost to bring the case

• whether a quick resolution is desired

• strength of the case

• complexity of issues involved

• type of case

What are the alternatives to compulsory arbitration?

Instead of the arbitration division, your case may be filed in the “General Docket” division of the Court of Common Pleas. The main differences are that the General Docket Division has no cap on the amount of recovery available, the rules are not as relaxed, more discovery is permitted to occur, your case will either be heard by a jury or a judge (depending on the type of case), and that the case may take longer to reach a decision.

Small claims court is an option for civil cases involving amounts in controversy of $12,000 or less. These cases will be heard and decided by a Magisterial District Judge. Either party may appeal the decision within 30 days.

An experienced Pennsylvania personal injury attorney can help prepare your case, present evidence effectively, and advise whether an appeal may be appropriate if the result is unfavorable.

Contact a Pennsylvania Personal Injury Attorney

If you have been injured in an accident, it is important to understand the compulsory arbitration process. An attorney at Gurrera Law can evaluate your case, and help decide if the compulsory arbitration process if right for your case.