Parties to business arbitrations generally assume that arbitration proceedings will be both private and confidential. The first assumption is correct. Arbitrations are private in that persons who are not a party to the arbitration agreement cannot attend any hearings or play any part in proceedings absent consent of all parties and the arbitrator.
The second assumption is not. While the obligation of the arbitrator (and administrator) to maintain confidentiality is usually clear, generally no such obligation is imposed on the parties. This becomes particularly troublesome in business cases involving such sensitive items as customer lists, trade secrets, proprietary processes, financial information, etc.
