Arbitrations offered in lieu of trial by nursing homes are currently under fire as nursing home patients and their loved ones realize the benefits they are signing away. According to a study conducted in 2009, arbitrations bring an average of 30% less in the way of an award for the family based on the claims made. Also, arbitrations are costly. One family paid 3/4 of their award to three private arbitrators and were left with 1/4 of the award to cover bills.
Arbitrations are arranged by the nursing homes and utilize expensive means to provide less compensation for patients and their loved ones that experience nursing home neglect or abuse. At this time, at least fifteen states are working to remove arbitration agreements from the nursing home admissions process. For more, read the story.