Arbitration is the alternative choice available to resolve disputes without going for litigation or trial. Both the parties have to agree that a third party arbitrator will act as both judge and jury. Arbitration can be binding or non-binding but quite often it ends in a settlement. In a non binding arbitration no arbitration award what so ever is issued. In a binding arbitration, the arbitrators’ decision is final and cannot be disputed or appealed. The parties may even agree to follow the rules put down by the AAA (American Arbitration Association).

It is well known that litigations can last for a very long period of time and often takes years for a case to settle. Unlike in litigation, during arbitration the rules of evidence and related procedures become quite relaxed. One can generalize and expect the following benefits during arbitration: Less expensive than litigation, Faster process, Lesser involvement with lawyers, Binding and non binding arbitrations possible, Arbitrator’s fees is lesser than that for a lawyer, Helps sooner settlement in non binding arbitration, As the arbitrator is not bound by the procedure rules he is more practical, No appeals can be filed on a binding arbitration

Before deciding on arbitration it is essential for the client to reflect and see if arbitration has to be preferred over litigation. This should be done considering all what is at stake, including time and the money involved. The arbitration clause has to be well reviewed preferably with the help of a lawyer.

With non-binding arbitration, the arbitrator makes a determination of the rights of the parties to the dispute but this determination is not binding on them. The award given is just an advisory opinion. Thus here the role of an arbitrator is similar to that of a mediator in a mediation. However unlike in mediation the arbitrator remains totally away from the actual settlement process though he might give suggestions. What happens after a non binding arbitration? Well subsequent to a non-binding arbitration, it is up to the parties involved; they are free to pursue their claims either via the courts, or by a binding arbitration.

There are few circumstances when your loved one should execute a financial power of attorney that gives their agent the immediate authority to make financial decisions. Financial powers of attorney are one of the easiest ways to commit elder financial abuse. The preferred method is to require that the agent’s authority is granted only after two qualified medical doctors declare in writing, under penalty of perjury, that the elder is mentally incompetent and unable to make sound financial decisions. Although still not foolproof, this requirement gives a great deal of protection against financial exploitation. A bad guy must now involve two doctors in order to carry out the rip-off.

It is always possible that the perpetrator will simply have the elder execute a new power of attorney that revokes all prior powers and gives the agent the immediate authority. When family members and friends are actively involved in the elder’s life, the crook will have much more difficulty in accomplishing this without being caught. When the elder has no immediate family or friends, the odds of being financially abused are greatly increased. However, there are still some preventive measures that can be taken to reduce the risk.

Speak with bank personnel and other financial institutions where the elder’s money is invested. Show them the power of attorney and explain that its purpose is to protect the elder in case someone tries to take advantage. Point out the added protection that requires two qualified medical doctors confirm the elder’s lack of capacity before the power of attorney is effective. Ask them to red-flag the elder’s accounts by placing a computer notation that the bank personnel should question any substantial withdrawals or unusual activity.

Many family members hesitate on broaching the subject of powers of attorney, in fear that their elderly loved one may take offence and tell them to mind their own business. Every family has their own unique dynamics. However, you can ease some of the awkwardness by doing some of your own research and sharing it with your loved one. Many counties agencies have informational brochures that explain the purpose in creating powers of attorney and how they can assist in financial matters. Delaying the discussion often results in no action being taken. Then, when the need arises, it is often too late because the elder no longer has the requisite mental capacity needed to execute the power of attorney. There is no surefire way to avoid financial exploitation of an elder. However, through education, discussion and assistance with the financial institutions involved, and with the help of a qualified elder law attorney, a power of attorney can be put in place that affords piece of mind that the chances of financial abuse are minimized.