See for example, "The Problem of Sexual Harassment and Forced Arbitration": https://www.correiaputh.com/news/problem-sexual-harassment-f...
Parties with fewer resources are at a huge disadvantage in either system, but there are degrees of disadvantage. It is misleading to examine the outcome of arbitration once the rules are "agreed" to without taking into account that the process of setting the rules strongly influences said outcome.
Do you prefer mandatory arbitration to being able to use the public court system? That's a privatized justice system.
No, it is mandatory in the sense that parties will be obliged by the normal justice system to submit to the specified process and will be held bound by the results by the normal justice system (with narrow exceptions.)
> if as the parent posits the normal justice system does not exist then everything becomes "Mandatory arbitration", right?
No, if the normal justice system does not exist, there is nothing holding anyone to a particular pre-specified arbitration process or enforcing the results of that process.
If the monetary damage was high enough vis-a-vis the ability of the public system to deliver me restitution for my losses, I'd very quickly be hiring private detectives yes.
This guy got arrested by the police, he was released and then run away to Dubai where he's from. He came back after a month and opened a company under a false name and started doing the same scam. I knew his address, I reported everything to the police and the police dropped the case without doing anything.
I'm already paying 25+k£ in taxes every year. If I didn't have to spend that and there would be no police or laws, private companies (aka burly guys with guns) would be needed to ensure citizens safety, in exchange for a fee. Different private companies would need to interact with each other to settle down cases, eventually agreeing on a set of laws to compensate people subjected to crimes.
In this hypothetical world, I would have been happy to pay for my protection agency to go and fetch this individual and bring him to a private court where my protection agency and his protection agency could debate whether the crime happened or not.
It was a blatant crime so there was no reason I would lose and that guy should have been forced to return my money (according to laws agreed on by contracts between our private protection agencies) or work in jail until I'm repaid.
Not that I'm happy with the current system, but I can't really see how a privatized one would not end up with an even bigger class divide where the laws are only enforced against people that are on the same level as you or below.
I don't see why corrupting a private judge would be easier than corrupting a public one.
The private one at least could default if they had no more business due to their unfairness.
There is definitely a competition between them; but is violence or negotiation the most business effective way of dealing with it?
Warfare is expensive, you risk men lives and weapons aren't cheap.
If there is violence on the street or if protection money is too high, no-one would want to live there and there would be less people to sustain your army.
I think the incentives are aligned to solve disputes in a pacific way.
For what history says about such firms, look up Pinkerton agents and London's policing before the current system.
An equivalent would be paying the expensive private security firm subscriptions for 10 years and then expecting service when something bad happens.
What if that meant that people could fire their police department and replace it with a different one if they didn't like the way it operated?
That would depend on exactly how things were set up, but we do it with politicians who have all the same bad incentives to keep power.
Even law making and law enforcing please.
Governments are incompetent by definition and hold too much power. I'd rather have a N local corporations competing against each other and not being able to extract money from everyone's profit - compared to a massive monopoly governing and profiting off millions of people.
I just wish someone would drag both political parties kicking and screaming into the modern age. Give Republicans their voter ID requirements they claim to want so much and give Democrats mandatory widespread adoption for every citizen homeless or otherwise. Make it mandatory to even pay income tax.