An Arbitration in which the parties to the dispute agree in advance on the limits within which the Arbitral Tribunal must render its award. It is only generally useful where liability is not in dispute, and the only issue is the amount of compensation. If the award is lower than the agreed minimum, then the defendant only need pay the lower limit; if the award is higher than the agreed maximum, the claimant will receive the upper limit. If the award falls within the agreed range, then the parties are bound by the actual award amount.