Conflict Avoidance, Management, and Dispute Resolution Procedures Flashcards

1
Q

Name some different forms of Alternative Dispute Resolution.

A

1 - Mediation
2 - Conciliation
3 - Negotiation

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2
Q

Name some formal methods of dispute resolution.

A

1 - Arbitration
2 - Litigation
3 - Adjudication

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3
Q

What would your considerations be prior to selecting a form of dispute resolution?

A

1 - The cost of dispute resolution in proportion to the claim being sought.
2 - Timescales involved.
3 - The impact on business relationships and reputation.

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4
Q

What is Conciliation?

A

1 - A dispute resolution process similar to mediation and relies on an independent 3rd party to mediate and guide a decision.
2 - The Conciliator has no authority to seek evidence or call witnesses.
3 - Conciliators are not able to make binding decisions.
4 - The conciliators role is to primarily act as the messenger and to encourage diplomacy.

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5
Q

What is Mediation?

A

1 - An alternative form of dispute resolution, and relies on an impartial 3rd party to mediate and guide a decision.
2 - The mediator tries to encourage coming together of parties in order to facilitate a decision as opposed to acting only as a messenger, which is the key difference between mediation and conciliation.
3 - Mediation encourages the coming together of parties and reaching an agreement.

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6
Q

What is negotiation?

A

Negotiation is where the parties reach an agreement through an informal private or facilitated discussion. Both parties will agree to settle the dispute either at a high level or in detail and be bound by the settlement.

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7
Q

What could indicate the success of a negotiation on a final account?

A

1 - Both parties are satisfied with the outcome and feel that a fair and reasonable compromise was reached.
2 - A partnering approach is adopted with both parties feeling as though their long term relationships and reputations have been maintained.

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8
Q

What is adjudication?

A

1 - A statutory form of dispute resolution procedure available in the UK.
2 - A relatively simple and efficient method of resolving disputes without engaging in lengthy and expensive court proceedings.
3 - Relies on an independent 3rd party who considers the claims of both parties.
4 - A binding decision will be made by the adjudicator which can be appealed, either through litigation or arbitration.
5 - It has the advantage of being time sensitive, with a decision being made in 28 days.

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9
Q

What enforces the requirement of a building contract to contain provisions for adjudication?

A

The Housing Grants, Construction and Regeneration Act 1996 (Construction Act)

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10
Q

Which contracts do adjudication apply to?

A

All construction contracts entered into within England, Scotland and Wales

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11
Q

What if a building contract does not contain provisions for adjudication?

A

1 - Parties still have the statutory right to adjudication, assuming the contract qualifies under the Construction Act.
2 - Failing this, the Scheme for Construction Contracts will apply in its entirety.

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12
Q

Explain your understanding of the arbitration process.

A

1 - A procedure for the resolution of disputes which is under the control of the parties.
2 - Certain conditions must be met, for example, a genuine dispute or difference between the parties must have occurred with an award being capable of enforcement.
3 - A binding agreement must be made to escalate the matter to arbitration.
4 - Proceedings are undertaken in private setting, meaning the reputations of both parties can be preserved to an extent.

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13
Q

Explain the difference between arbitration and litigation procedures

A

Arbitration
1 - Governed by the Arbitration Act 1996
2 - In order to arbitrate, there must be agreement by both parties
3 - Parties have a wider degree of discretion as to how proceedings are conducted.
4 - Procedures are similar to litigation with formal submissions by both parties, expert evidence, hearings, and a decision by the arbitrator.
5 - A private process
Litigation
1 - Differs in that proceedings are conducted in court.
2 - Public process that follows civil procedure rules.
3 - Despite having high costs, the process can deal with multi-party disputes and civil procedure rules which aim for accessibility, speed and efficiency.

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