COLORADO ARBITRATION CERTIFICATIO N EXAM
QUESTIONS AND CORRECT ANSWERS (VERIFIED
ANSWERS) Q&A 2026|INSTANT DOWNLOAD PDF
1. What is arbitration?
A. Court litigation process
B. Private dispute resolution process
C. Police investigation method
D. Legislative procedure
Rationale: Arbitration is a private method of resolving disputes
outside court using a neutral third party.
Correct Answer: B
2. Who typically selects the arbitrator?
A. Government agency
B. One party only
C. Both parties jointly
D. Jury panel
Rationale: Parties usually agree on the arbitrator or arbitration
panel.
Correct Answer: C
3. Arbitration decisions are called:
,A. Judgments
B. Awards
C. Orders
D. Verdicts
Rationale: Arbitrators issue binding or non-binding awards.
Correct Answer: B
4. Arbitration is most commonly used in:
A. Criminal cases
B. Contract disputes
C. Traffic violations
D. Tax audits only
Rationale: It is widely used in civil and commercial contract
disputes.
Correct Answer: B
5. A key advantage of arbitration is:
A. Public trial record
B. Faster resolution
C. Jury involvement
D. Mandatory appeals
Rationale: Arbitration is generally faster than court litigation.
Correct Answer: B
,6. The Federal Arbitration Act primarily:
A. Prohibits arbitration
B. Regulates arbitration agreements
C. Handles criminal law
D. Replaces state courts
Rationale: It enforces arbitration agreements in the U.S.
Correct Answer: B
7. Arbitration clauses are usually found in:
A. Medical prescriptions
B. Contracts
C. Police reports
D. Birth certificates
Rationale: Contracts often include arbitration clauses.
Correct Answer: B
8. Arbitration is generally:
A. Always non-binding
B. Always binding
C. Either binding or non-binding
D. Illegal in Colorado
Rationale: Arbitration may be binding or non-binding
depending on agreement.
Correct Answer: C
, 9. A neutral third party in arbitration is called:
A. Mediator
B. Judge
C. Arbitrator
D. Attorney
Rationale: The arbitrator decides the dispute.
Correct Answer: C
10. Arbitration differs from mediation because:
A. No third party
B. Binding decision is made
C. No dispute exists
D. No contract required
Rationale: Arbitration results in a decision; mediation does not.
Correct Answer: B
11. Evidence rules in arbitration are typically:
A. Strict as court
B. More flexible
C. Not allowed
D. Always ignored
Rationale: Arbitration uses relaxed procedural rules.
Correct Answer: B
QUESTIONS AND CORRECT ANSWERS (VERIFIED
ANSWERS) Q&A 2026|INSTANT DOWNLOAD PDF
1. What is arbitration?
A. Court litigation process
B. Private dispute resolution process
C. Police investigation method
D. Legislative procedure
Rationale: Arbitration is a private method of resolving disputes
outside court using a neutral third party.
Correct Answer: B
2. Who typically selects the arbitrator?
A. Government agency
B. One party only
C. Both parties jointly
D. Jury panel
Rationale: Parties usually agree on the arbitrator or arbitration
panel.
Correct Answer: C
3. Arbitration decisions are called:
,A. Judgments
B. Awards
C. Orders
D. Verdicts
Rationale: Arbitrators issue binding or non-binding awards.
Correct Answer: B
4. Arbitration is most commonly used in:
A. Criminal cases
B. Contract disputes
C. Traffic violations
D. Tax audits only
Rationale: It is widely used in civil and commercial contract
disputes.
Correct Answer: B
5. A key advantage of arbitration is:
A. Public trial record
B. Faster resolution
C. Jury involvement
D. Mandatory appeals
Rationale: Arbitration is generally faster than court litigation.
Correct Answer: B
,6. The Federal Arbitration Act primarily:
A. Prohibits arbitration
B. Regulates arbitration agreements
C. Handles criminal law
D. Replaces state courts
Rationale: It enforces arbitration agreements in the U.S.
Correct Answer: B
7. Arbitration clauses are usually found in:
A. Medical prescriptions
B. Contracts
C. Police reports
D. Birth certificates
Rationale: Contracts often include arbitration clauses.
Correct Answer: B
8. Arbitration is generally:
A. Always non-binding
B. Always binding
C. Either binding or non-binding
D. Illegal in Colorado
Rationale: Arbitration may be binding or non-binding
depending on agreement.
Correct Answer: C
, 9. A neutral third party in arbitration is called:
A. Mediator
B. Judge
C. Arbitrator
D. Attorney
Rationale: The arbitrator decides the dispute.
Correct Answer: C
10. Arbitration differs from mediation because:
A. No third party
B. Binding decision is made
C. No dispute exists
D. No contract required
Rationale: Arbitration results in a decision; mediation does not.
Correct Answer: B
11. Evidence rules in arbitration are typically:
A. Strict as court
B. More flexible
C. Not allowed
D. Always ignored
Rationale: Arbitration uses relaxed procedural rules.
Correct Answer: B
