ADR Flashcards
What is ADR?
Alternative Dispute Resolutions - settle cases without going to court.
What are the 5 types of ADR?
Negotiation
Mediation
Mediation services
Conciliation
Arbitration
Describe negotiation
Two people/parties resolve issue by themselves - if they can’t then hire solicitors means more costs and time
Describe mediation
Neutral third party mediates. Does not offer an opinion unless asked. Not legally binding. Parties can leave at any time.
Example for mediation
Family mediator association - divorce and child custody.
Example for negotiation
Two neighbours
What is mediation services?
Companies which settle disputes
An example of mediation services?
Centre for Dispute Resolutions - many large companies and London law firms use this.
How many disputes has the Centre for Disputes sorted?
In 2016 - 10 000 saving £2.8 billion in time and legal fees.
What is conciliation?
Similar to mediation but third party takes a more active role - can suggest a settlement. Both parties can leave at any time and not legally binding.
Example for conciliation?
ACAS
What is arbitration?
Submit their claims to a private arbitrator or a panel of arbitrators who decide on a settlement. ( like a judge )
Example of arbitration?
Package holiday contracts
Commercial contracts - Scott v Avery clause
What act is arbitration under and what does it state?
Arbitration act 1996
Courts should refuse to deal with incidents where arbitration is agreed on so it can happen.
What do the parties have to agree on?
What type of hearing - in person or not
Time, date and place
What is the decision called and is it final?
Award and it’s legally binding but can be challenged if conducted incorrectly or a point of law.
What are 4 adv of arbitration? A03
1) Arbitrator is expert - no witnesses
2) Parties choose date, time and place
3) Private - no bad publicity
4) Cheaper and quicker than court
What are 4 disadv for arbitration?
1) No legal funding
2) Individual V business isn’t fair - lawyer costs
3) A point of law may need to be resolved - delay or jeopardise
4) If a professional arbitrator is used costs might = court.
5 adv of mediation and conciliation?
1) Quicker and cheaper than litigation
2) Simpler more formal - less stress
3) Confidential- no bad publicity
4) Tries to preserve relationships
5) Avoids adversarial aspect of court - a lot better than winner/loser result
4 disadv of mediation and conciliation?
1) Not guaranteed to be successful - wastes time and money
2) Not legally binding
3) Many citizens are not aware of them
4) Need a skilled mediator for it to be fair - avoid one bullying another into a settlement.
