Judges in general are believers in mediation. It can be a highly effective way of identifying differences between litigants, crafting solutions to sticking points, and permitting litigants to vent their grievances. Bankruptcy judges can and do order mediation in situations where contested matters are in need of a push forward. But there are qualifications and limitations on arbitration, like anything else.
A recent Kansas bankruptcy case laid out some of these standards, and it is useful for us to discuss them. These issues were discussed in a memorandum opinion written by Judge Somers in the case of In Re Brooke in 2013. The opinion discusses who can compel arbitration, how a litigant can waive his ability to compel arbitration, and what things can be arbitrated in bankruptcy court.