Tom Martin

The businesses in the towns of Greene and Sabattus I previously represented in the Maine House of Representatives have relied on our courtrooms to obtain justice.

At the same time, as someone who previously owned a business for years, I recognize that the constraints of this system cannot be ignored. The inflexible rules of this legal process can lead cases to drag on for years, costing businesses and claimants thousands of dollars in rising legal fees. 

Thankfully, court litigation is not the only means to obtain due process. The arbitration system has served as an integral manner in which disputing parties can come together to resolve their dispute in a quick and efficient manner, saving money for everyone involved. 

However, we have recently seen efforts by members of the trial bar and congressional lawmakers to practically eradicate this process. They have worked to introduce the Protecting Older Americans Act, which would prevent older workers from being able to file claims under arbitration, instead having to use expensive court litigation to do so. 

Passing such a bill would significantly limit the growth of our small businesses here in the Pine Tree State. Arbitration currently enables companies to save thousands of dollars in costly court litigation fees. Owners can then reinvest this money into developing their businesses, enlisting new employees, and opening new stores. This helps grow our economy for years to come. 

Arbitration has also provided claimants with the ability to win more money for their cases. Research has shown that plaintiffs filing their cases through arbitration win an additional $10,000 compared to those filed in court litigation. This is a massive difference that can help plaintiffs and their families find their footing financially. 

All the same time, arbitration has committed to maintaining a fair process for all parties. The American Arbitration Association dictates high standards and regulations for all arbitrators, including a commitment to neutrality, divulgence of any undue influence, and selection by the disputing parties. The AAA will immediately dismiss a case from going through if any of these rules are not met. 

Outcomes of arbitration cases are also subject to various forms of disclosure. Courtrooms have mandated that parties in the disputing case maintain the ability and choice to go public with a case’s outcome. Various state legislatures have also passed laws requiring arbitral forums like the AAA to reveal the outcomes of these cases. 

Both defendants and plaintiffs have agreed that arbitration enables everyone to preserve countless months and dollars. This includes making sure money is not a hurdle for anyone looking to file. Claims filed under arbitration over employment disputes have made this apparent, as claimants can struggle to find a contingency-fee lawyer given a lack of financial motivation for the attorney. 

We cannot allow Congress to move forward with the Protecting Older Americans Act. The bill would just about abolish the use of arbitration by nullifying pre-dispute arbitration clauses in age discrimination cases. These clauses have helped disputing parties work together to create an equal playing field in advance of any potential conflict to come, something that is doubtful to occur once in conflict. 

The process of arbitration has aided dispute resolution between conflicting parties. This includes diminishing litigation expenses for businesses, while also providing claimants with the funds they deserve.

To protect this system, we need to act now and stop the Protecting Older Americans Act from becoming federal law. 

Tom Martin of Greene is a small business owner, former CEO of American Millworks & Construction and former Director of Operations at Ted Berry Company, and has served in both the Maine State Senate and Maine House of Representatives.