ADR Flashcards
what is ADR?
alternative dispute resolution.
an easier way of resolving disputes outside of the court system
what is negotiation?
between two parties.
written or verbal.
not legally binding - can be with a contract.
what is mediation?
between two parties and a mediator.
mediator can’t give opinion but can steer the conversation.
not legally binding - can be with a contract
what is conciliation?
between two parties and a conciliator.
conciliator can give their opinion and help with decisions.
not legally binding - can be with a contract.
what is arbitration?
arbitrator is like a judge.
both parties submit evidence and arbitrator comes back with a decision that is legally binding called an ‘award’.
big companies prefer arbitration to keep private - Scott v Avery Clause means they can go straight to arbitration.
advantages of ADR?
cheaper than court, parties have control (other than arbitration), can become binding, expert professionals
disadvantages of ADR?
parties might not take seriously, not legally binding, could be a waste of time, no control under arbitration