Experts and arbitration outcomes: Insights from public procurement contract disputes

C-Tier
Journal: Kyklos
Year: 2024
Volume: 77
Issue: 4
Pages: 922-943

Authors (4)

Claudio Detotto (not in RePEc) Riccardo Marselli (not in RePEc) Bryan C. McCannon (Illinois Wesleyan University) Marco Vannini (not in RePEc)

Score contribution per author:

0.251 = (α=2.01 / 4 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We explore the use of experts in arbitration proceedings by analysing public procurement contract disputes in Italy. Balancing cost with accuracy, participants to a contract select arbitration when speedy dispute resolution is valued highly. Alternative dispute resolution mechanisms tend to give appointed arbitrators discretion in how to proceed. Consequently, principal‐agent problems can arise. Using an inverse‐probability‐weighted approach, we show that the use of an expert causes a slowing down of the case resolution, without having an effect on the outcome of the dispute nor resolving uncertainty as measured by unanimous decisions by the panel of arbitrators. Conflict resolution mechanism designers should consider the alignment of incentives between the disputants and the service providers.

Technical Details

RePEc Handle
repec:bla:kyklos:v:77:y:2024:i:4:p:922-943
Journal Field
General
Author Count
4
Added to Database
2026-01-25