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Alternative Dispute Resolution

Unfortunately, disputes are a fact of life and you will most likely experience a serious dispute during your lifetime.  The good news is that not all disputes have to be resolved in court through litigation.

Alternative dispute resolution is an alternative to resolving disputes in court.  There are many reasons you may wish to avoid court, such as: preserving business relationships, maintaining confidentiality of the dispute, resolving complex disputes relatively quickly and the parties have much more control over the process.

Here is a breakdown of the three most common forms of alternative dispute resolution:

Negotiation: The parties mutually agree to end the dispute.  The most common form of negotiation is a settlement.

Mediation: The parties agree to have a third party facilitate discussions among themselves to resolve the dispute.  The third party (the "mediator") does not render a decision, rather the parties themselves reach a mutual resolution facilitated by the third party mediator.

Arbitration: The parties agree to have a third party decide the outcome of their dispute.  The third party (the "arbitrator") acts similar to a judge and renders a decision.  An arbitrator can either be one individual or a panel of a few individuals.  Typically, one cannot appeal an arbitration decision and all parties are bound to the arbitrator's decision.

Common Alternative Dispute Resolution Mistakes:

(1) Many individuals have an aversion to alternative dispute resolution: negotiation, mediation and arbitration.  Negotiation, mediation and arbitration are all unique methods that can be implemented to resolve disputes without going to court.  These methods, if used properly, can save you substantial time and money by avoiding the high costs associated with traditional litigation.

(2) Some individuals believe that they can manage alternative dispute resolution themselves because it is outside of court.  Before engaging in alternative dispute resolution, an individual must make sure that their interests are properly represented.  Even though alternative dispute resolution is handled outside of court, there are still important legal principles that may apply.

The Proy Law Firm can help you with the following alternative dispute resolution issues:

- Arbitration Counselor

- Mediation Counselor/Representative

- Negotiation Counselor