The 2 basic types of Alternative Dispute Resolution
When it comes to dispute resolution, there are basically 2 choices available to us alternatives to litigation. Understandably, disputants are often confused about which process to apply to their situation.
Here follow the 2 basic types of dispute resolution to consider:
The goal of mediation is for a neutral third party to help disputants come to a consensus on their own.
Rather than imposing a solution, a professional mediator works with the conflicting sides to explore the interests underlying their positions.
Mediation can be effective at allowing parties to express their feelings and fully explore the cause(s) for their complaint or protest, especially what they believe it is an unfair treatment to them by the other party.
Working with parties together and sometimes separately, mediators can try to help them hammer out a resolution that is sustainable, voluntary, and nonbinding.
In arbitration, a neutral third party serves as a judge who is responsible for resolving the dispute.
The arbitrator listens as each side argues its case and presents relevant evidence, then renders a binding decision.
The disputants can negotiate virtually any aspect of the arbitration process, including whether lawyers will be present at the time and which standards of evidence will be used.
Arbitrators hand down decisions that are usually confidential and that cannot be appealed.
Like mediation, arbitration tends to be much less expensive than litigation.