negotiation

Question 1

what is this

Answer 1

Where parties discuss their issue and try to come to a resolution without a third party or legal representation

Question 2

what are the communication methods for this

Answer 2

can be done by telephone, email, or face to face, or can be through any method of communication electronic or in person.

Question 3

what may a formal negotiation look like

Answer 3

parties can hire lawyers who negotiate for them

Question 4

what type of parties do this usually

Answer 4

businesses

Question 5

what is the end result

Answer 5

If an agreement on paying compensation is made between the parties (instead of being ordered by the court) it is called a settlement, and if this is signed it is a legally binding agreement.

Question 6

is there a fixed procedure

Answer 6

no

Question 7

what are the costs

Answer 7

There can be no costs at all – unless parties hire lawyers to represent them, in which case an hourly fee applies (and this can get very expensive).

Question 8

positives of negotiation

Answer 8

completely private
quick resolution
maintains relationships
informal

Question 9

completely private dev

Answer 9

Not even a third party involved.
Even with lawyers, confidentiality agreements can be signed.

Question 10

completely private extra

Answer 10

without an NDA (non-disclosure agreement) there’s nothing to stop parties from going to the press

Question 11

quick resolution dev

Answer 11

sometimes so quick they dint even realize they’re in a dispute

Question 12

quick resolution extra

Answer 12

can also be very long and complicated depending on substance of issue

Question 13

maintains relationships dev

Answer 13

compromise needed to help reach a common ground that satisfies both making them both happy with outcome

Question 14

maintains relationships extra

Answer 14

imbalance of power can lead to resentment

Question 15

informal dev

Answer 15

no set process- parties have freedom
can help as they can tailor it around their day to day lives making it less stressful

Question 16

informal extra

Answer 16

may not take it seriously

Question 17

what are the 4 negatives

Answer 17

can be costly if lawyers are used
Often an agreement is made right before court
Inequality of bargaining power
Seen as half way house

Question 18

can be costly if lawyers are used dev

Answer 18

makes it more expensive than it should be potentially stressing out parties even more as need lawyer for longer so will have to pay more as lawyers don’t give in

Question 19

can be costly if lawyers are used extra

Answer 19

however this when negotiation is most effective- guaranteed suitable outcome

Question 20

Often an agreement is made right before court dev

Answer 20

ADR is supposed to take cases out of court- but this wastes court time even more

Question 21

Often an agreement is made right before court extra

Answer 21

But still a reduction in court pressure and will be able to get resolved faster than what a court case would be

Question 22

Inequality of bargaining power dev

Answer 22

Exploitation of weaker parties by stronger parties esp if one party can afford a really good lawyer

Question 23

Inequality of bargaining power extra

Answer 23

Inequalities may still exist in court due to lack of legal aid

Question 24

Seen as half way house dev

Answer 24

If settlement reached its likely to be less than they’d of won in court

Question 25

Seen as half way house extra

Answer 25

But avoid stress of court case and risk of losing case