Financial Arbitration and Private FDR Service

When negotiations do not result in an agreement, there are still ways to resolve financial disputes without going through the court process. Two commonly used options are arbitration and private Financial Dispute Resolution hearings (private FDRs). Both offer a more flexible and private alternative to litigation while the parties still benefit from expert legal input.

The court system can be slow and hearings are often subject to delays. Arbitration and private FDRs allow parties to resolve disputes more quickly and in a setting that can be tailored to their needs.

At Burgess Mee, Emma Morris offers both a financial arbitration and a private FDR service. She has over 30 years’ experience advising on divorce and financial remedy, including complex international cases and work for high-net-worth individuals. She is collaboratively trained, a member of Resolution and a practising financial arbitrator. She is a Member of the Chartered Institute of Arbitrators. She also conducts private FDRs and regularly supports clients in resolving disputes through these processes.

We have private rooms and can host the financial arbitration or private FDR. Alternatively, Emma is happy to travel to a location of your choice.

Financial Arbitration

Arbitration is a private process in which an independent arbitrator is appointed to determine a financial dispute. The arbitrator is usually an experienced family law barrister, solicitor or retired judge who will consider the evidence and make a binding decision.

Arbitration can be used to resolve both financial matters arising from separation and certain disputes relating to children. The parties can choose the arbitrator and agree the procedure and timetable, allowing the process to move forward at a pace that suits them.

Once the arbitrator has made their decision, the outcome is binding and will usually be converted into a court order.

The key benefits of arbitration include:

• The ability to choose an experienced specialist to decide the issue
• Greater flexibility in relation to the timetable and process
• A confidential setting without the risk of media interest
• A final and binding outcome without the delays often associated with court proceedings

Arbitration can be particularly helpful where the parties have reached an impasse on a specific issue and want a clear and definitive resolution.

Private Financial Dispute Resolution hearings (Private FDRs)

A private FDR is another form of non-court dispute resolution used to help resolve financial disputes following separation or divorce. In the court process, a FDR is usually the second hearing to take place. At this hearing the judge provides a non-binding indication of the likely outcome if the case proceeded to a final hearing. The aim is to help the parties negotiate, narrow the issues, and hopefully reach an agreement that the court can the approve and make into an order. . A private FDR follows the same principle but the private process takes place outside the court system. The parties jointly appoint an experienced family law specialist, often a senior barrister or retired judge, to act as the evaluator (judge). The evaluator will review the financial information and listen to each of the parties’ positions before providing their view on how a court would likely decide the case. That indication is not binding, but it often helps to focus negotiations and encourage settlement.

Private FDRs offer several advantages:

• The ability to appoint a specialist evaluator with relevant expertise
• Greater flexibility in choosing the date and venue
• The opportunity to resolve matters more quickly than through the court process
• A private venue rather than a court house.

Many cases settle on the day of a private FDR or shortly afterwards.