Paralegal Advanced Competency Exam (PACE) Practice Exam

In arbitration, the individual who is typically chosen to resolve the dispute is known as an arbitrator. An arbitrator acts as a neutral third party who listens to the arguments and evidence presented by both sides in the dispute and makes a binding decision based on that information. This process is designed to be more streamlined and flexible than traditional court proceedings, allowing for a quicker resolution. Unlike a judge, who is a public official appointed to preside over court cases, an arbitrator is often selected by the disputing parties themselves, either from a list provided by an arbitration organization or based on mutual agreement. This selection process gives the parties greater control over who will hear and decide their case. In contrast, a jury of peers consists of randomly selected citizens tasked with determining the facts of a case in a court trial, rather than resolving disputes through arbitration. A mediator, while also a neutral third party, facilitates negotiation between the parties but does not make binding decisions like an arbitrator does. Therefore, the distinctive role of the arbitrator in binding arbitration is what makes this answer the most appropriate choice for the question.