Why Do Companies Favor Arbitration?

This video features Aaron Allison, an Employment and Labor Law attorney based in Texas.

Attorney Aaron Allison | 888-300-1476 | Free Consult

What should you do if you’re injured on the job? Workers’ compensation may be an option, depending on what state you live in and whether your employer is obligated to provide it. In some cases, you may have the right to file a personal injury lawsuit against your employer if negligence was involved.

However, as attorney Aaron Allison explains, a lawsuit filed against the company could result in arbitration instead of a jury trial. Arbitration is heavily weighted in the company’s favor.

To make sure your rights are fully protected, contact an attorney after an on-the-job. They can help give you the best chance of a successful outcome.

Aaron Allison is an attorney at The Law Offices of Aaron Allison in Austin, TX. He focuses his practice on helping people injured at work.

To learn more, contact Aaron Allison by calling 888-300-1476 or by submitting a contact form on this page. There is no fee for the consultation, and there are no attorney fees unless the case ends in your favor.

Video Transcript:

When you're first hired by the employer and they give you "Here's your package" and they hand it to you, contained in those documents is a clause that says, "In the event that you're injured on the job and you bring a negligence case against us, you waive your right to a jury trial guaranteed by the constitution of the state of Texas and agree to go to binding arbitration instead of going in front of a jury." Now, the employers and the insurance companies did that for a reason. If I'm in front of 12 laypeople, working people and my client's a working person and I point the finger at a very wealthy, large corporation that injured them, chances are I'm basically going to get a higher result, a higher award than I would if I went to arbitration.

In arbitration, you're in front of a retired judge or law practitioner who is binding. Their decision is not subject to appeal. Their decision is final. And what we see statistically is the recoveries in arbitration are lower than they are in jury trials. So the employers of the last 15, 20 years have pushed these cases into arbitration and away from the jury courts to reduce what they pay.

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