Arbitration is one of various methods that together are referred to as alternative dispute resolution or adr as suggested by the name the idea behind methods of adr is to provide an alternative to filing a lawsuit and going to court which is the traditional method for resolving legal disputes. Arbitration in the united states dates to the eighteenth century courts frowned on it though until attitudes started to change in 1920 with the passage of the first state arbitration law in new york. The united states arbitration act publ 68 401 43 stat 883 enacted february 12 1925 codified at 9 usc ch 1 more commonly referred to as the federal arbitration act or faa is an act of congress that provides for judicial facilitation of private dispute resolution through arbitration
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