Also known as “Either/or” arbitration or “Final offer”, arbitration in baseball does not differ from the original meaning of the term. It refers to the salary proposals submitted by both parties by a third party or an arbitration attorney. After deliberations, the arbitrator chooses which proposal is best based on current records of players with similar service time, performance record, and skills. Do note that that salary arbitration is possible as long as the player has been in service for less than 6 years.

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