Arbitration and Partnerships Partnerships are based on trust and good working relationships. Acknowledging that potential disagreements cannot be resolvedmust included in any business contract. Resolving disagreements when a resolution cannot be made in a partnership can be resolved using arbitration. Arbitration is a form of final settlement dispute resolution. This allows parties to dispute to avoid issuing legal proceedings in court. Court proceedings is relatively more costly, longer and public. Arbitration To ensure that arbitration will be the final form of settlement, all partners must agree to elect arbitration. This is the method of resolving disputes that cannot be agreed between the partners. If the partnership wishes for arbitration to apply to any other contracting relationships, for example employee, suppliers etc., that other party must agree to arbitration as the method of final resolution. Other Benefits Other benefits of arbitration and the reason why it is most suitable to businesses and partnerships are that it proceeds in private. An arbitrator appointed