Critique a combat resolution mechanic?

So, a friend and I were talking about some of the issues with freeform RP, and we came up with a way of resolving combat that I've decided to introduce in my new RP (The Tavern Between the Worlds)

Before we get to the point of actually using it, though, I'd be curious to know what people think. Here are the rules:

0) Everyone starts with 5 combat points.
This is per player, not per character.

1) If you roleplay losing a fight that isn't arbitrated, you get 1 combat point.
To claim your point, PM me and I'll make a note of it.

2) To have a fight arbitrated, decide how many points it's worth to you...
Then PM me with the name of your opponent, and the amount of points you're 'bidding.' I'll contact the other party (if I haven't already heard from them) and get their bid. Whoever bids highest loses that many combat points -- and wins the fight. The other party gains the number of points they bid -- but is required to lose gracefully.

Please note that an arbitration in you favor does not mean you get to kill or even maim your opponent. You just get to 'win,' and you should play things out so that they can post exactly how they 'lose.'

So... what do you folks think?

Source: http://feedproxy.google.com/~r/RolePlayGateway/~3/iBKqndm8rNQ/viewtopic.php

the national defense authorization act the national defense authorization act bcs rankings miguel cotto vs antonio margarito rockefeller center art basel 2011 art basel 2011