Business Name
Alternative dispute resolution means any other means of resolving disputes between conflicting parties other than the customary litigation. Therefore, it entails resolving disputes outside the court room and thus it is less confrontational. Nevertheless, a court of law has the powers to review and evaluate the validity, procedural and substantive justice awarded in an ADR method. ADR is divided into five main categories. These include arbitration, conciliation, meditation, negotiation, and neutral evaluation. These are the cardinal ways through which conflicting parties can settle their disputes without involving the court and succeed in ensuring a valid judgment.
Parties are encouraged to settle their cases through ADR methods for various reasons. Nonetheless, in most cases, the circumstances of each case act as the main determinant for which ADR that would be adopted. For example, parties to a case which requires an expeditious process are more likely to prefer ADR methods than litigation. ADR methods seek to cure the challenges that make litigation unattractive. Some of these ailments include the increasing number of court queues, time delays and proliferation of the costs of litigation. These conundrums that continue to plague the courts driven process is highly undesirable for business and many states have started embracing the idea of mainstreaming ADR methods. This is principally in business decisive decisions are critical to the success of an enterprise. In addition, in case of a conflict between a state department and another or civil servants at the local level that is caused by conflicting responsibilities; the ideal methods to utilize are ADRs.
Moreover, there are other conflicting parties who are involved in non-business cases who prefer ADR methods. For example, a party that has been defamed may prefer arbitration rather than litigation, which would further popularize the case leading to further discrimination. In addition, a couple who seek to divorce each other and are having difficulties in division of matrimonial property may opt for negotiation or arbitration rather than litigation. This is because litigation can be messy for both parties. Moreover, the process may inflict more wounds to the parties thus causing more harm than good. The rising cost of litigation is also a significant reason as to why people opt for ADR methods.
Merits of ADR methods over litigation
The key advantages of using ADR methods include; a confidential process, less cost, binding decisions, less formalities and legal jargon. Additionally, ADR resolves problems amicably and damages or compensation may be awarded. Among these fives methods; arbitration, negotiation and mediation are the most popular methods among conflicting parties. To begin with negotiation, parties usually attempt this as the first possible mechanism to resolve their conflict. The preeminence of this process is by virtue that it is a party to the conflict led process. The parties arrange to meet each other in order to come up with an agreement that serves both of them best. The key merit out of this process is the fact that the process is voluntary and, therefore, the parties have the powers to wholesomely control the solution and the process.
Mediation is similar to litigation but much simpler and less formal than litigation. This is because a mediator is a trained individual in the process. Their job is to ensure that the parties attain a middle ground. They are supposed to lead the parties from their positions, work out something and finally reach an agreement or a settlement that all parties in both sides reject or accept. This has become a favorite method of resolving disputes between stock brokers and investors. It is also a method that is embraced by the Native Indian tribes of America.
Arbitration is more complex than other ADR methods but simpler than litigation. It can be classified as a mini-trial as it employs the rules of evidence, though relaxed, and discoveries. It is led by an arbitrator or an arbitral panel. The process can last a few days to even weeks. The arbitrators listen to the case of the plaintiff and the defense of the respondent. The panel discusses the facts in issue before them and then issues a written decision, which is bidding to both parties. This is the most appropriate method to use under ADR. The process is confidential, legally binding and costs less than litigation.
(Your Initials)
References
Hartley, R. E. (2008). Alternative Dispute Resolution in Civil Justice Systems. New York: LFB Scholarly Publishing LLC.
Estreicher, S., & Sherwyn, D. (2004). Alternative Dispute Resolution in the Employment Arena: Proceedings of the New York University 53rd Annual Conference on Labor. New York: Kluwer Law International.
Federation Press. (2009). Non-Adversarial Justice. New York: Federation Press.
