3. Dispute Resolution (ADR)

Question 1

What is dispute resolution?

Answer 1

Process of settling a disagreement between two or more parties.

Question 2

What is the most basic form of dispute resolution?

Answer 2

Negotiation

Question 3

What is the most extreme for of dispute resolution?

Answer 3

Litigation - at court

Question 4

What is ADR?

Answer 4

Alternative dispute resolution - Dispute resolution processes that fall outside the scope of court litigation.

Question 5

What are some of the advantages of ADR?

Answer 5

• Speed
• Informality
• Cost (Lower than courts)
• Confidentiality

Question 6

What are some forms of ADR?

Answer 6

• Arbitration
• Independence Expert Determination
• Mediation
• RICS Dispute Resolution Service

Question 7

What is arbitration?

Answer 7

A form of ADR.

An arbitrator decides a dispute in accordance with statute (The Arbitration Act 1996).

They will have specialist knowledge of the subject area.

Question 8

What are some of the details of arbitration?

Answer 8

• They have the power to award costs.
• They cannot be sied for negigence, but there are three possible grounds for an appeal (jurisdiction, point of law or serious irregularity)
• Can be fast, cost effective and confidential
• Common form of ADR for commercial property

Question 9

What is Independent Expert Determination?

Answer 9

Independed expert can be appointed by the agreement of the parties (that might be recorded in the contract/lease).

Determination is produces that binds the parties.

They are under a duty to make their own investigations and they use their knowledge and experience to reach a decision.

Commoon form of ADT for commercial property rent review disputes and service charge disputes.

Question 10

What is Mediation?

Answer 10

Facilitates discussions between the two parties to explore whether a solution can be found.

Confidential and informal process.

Usually conducted on a “without prejudice” basis.

The mediator has no decision-making authoirty and cannot impose a resolution upon the two parties.

Question 11

What is the RICS Dispute Resolution Service?

Answer 11

World’s oldest ad largest provider of ADR servies in land, property and construction industries, including:

• Arbitration
• Independent Expert Determination
• ADR for Compolsory Purchase Disputes