Chambers College of Business and Economics
We explore the use of expert witnesses in arbitration proceedings by analyzing public procurement contract disputes in Italy. Balancing cost with accuracy, participants to a contract select arbitration when speedy dispute resolution is valued highly. Arbitration mechanisms tend to give arbitrators discretion in how to proceed. Consequently, principal-agent problems can arise. Using an IV approach, we show that the use of an expert witness 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.
Digital Commons Citation
McCannon, Bryan; Detotto, Claudio; Vannini, Marco; and Marselli, Riccardo, "Expert Witnesses and Arbitration Outcomes: Insights from Public Procurement Contracts" (2022). Faculty & Staff Scholarship. 3106.