Alternative dispute resolution (ADR) refers to process and techniques of resolving disputes outside of formal litigation. The most common types of ADR are mediation and arbitration.
Mediation is a non-binding form of dispute resolution that works well for minor disputes. The mediator engages in shuttle diplomacy to formulate a solution that is acceptable to both sides. It has one major disadvantage: If the mediator fails to find a common ground, the dispute moves back to the litigation track. As a result, it works well for minor disputes. It does not work as well with intractable disputes or unreasonable parties.
Arbitration is a binding form of dispute resolution. It permits parties to submit their dispute to an independent third party that functions much like a judge. The arbitrator listens to the facts and then renders a judgment. It has one drawback: The arbitration is conducted much like a trial, and is not as conducive to reaching a creative or mutually beneficial compromise to a business dispute.
The attorneys at Janathan L. Allen, APC can assist you in resolving business disputes outside of litigation.
Call us today at our toll-free line, 866-493-5400, for a free consultation.
Janathan L. Allen, APC, located in Southern California, provides legal services to clients located throughout the United States and worldwide.
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