U1A: ADR Flashcards
What does ADR stand for?
Alternative Dispute Resolution
Why is ADR used?
As a method of resolving an issue and avoiding going to court
What are the four types of ADR?
Mediation, Conciliation, Arbitration, Negotiation
What is the role of the mediator?
A neutral third party who facilitates discussion but does not give their own view
What is the goal of mediation?
To reach a compromise between the parties
How does a mediator facilitate mediation?
Consults with each party and identifies common ground
Passes information and offers between parties
When is mediation most effective?
When parties can co-operate (e.g., company and family law)
What form does mediation take?
Client-led process
What is the main difference between mediation and conciliation?
The conciliator plays a more active role by suggesting compromises and settlements
What organization provides conciliation services in industrial disputes?
ACAS
Why might conciliation not always work?
The parties may still need to litigate if a settlement is not reached
What is arbitration?
A process where parties agree to submit their claim to private arbitration
Who makes the decision in arbitration?
A third party who is not a judge
What statute is arbitration governed by?
The Arbitration Act (1996)
How does arbitration compare to court proceedings?
It is generally cheaper + quicker than court
What is the nature of an arbitration decision?
Legally binding and can be enforced in courts
Who decides the form arbitration takes?
It is almost entirely the decision of the parties
What is negotiation?
Direct communication between two parties to resolve a dispute
What are the key features of negotiation?
Private, quick, cheap
When can negotiation be used?
Before going to legal advisors
What are the advantages of mediation?
-Parties agree to the outcome
-No need for a lawyer
-Quick process
-Lack of formality
-Expertise
What are the disadvantages of mediation?
May not lead to settlement
Not binding
Lack of legal expertise
If it fails, time + money is wasted
One party may be bulldozed
What are the advantages of conciliation?
The conciliator is normally an expert in the field
Private process, so no damage to reputation
Flexible process (time and date suited to parties)
Suitable for entrenched disputes
Pro-active element
What are the advantages of arbitration?
Binding decision
Expertise
Privacy
Convenience
Cost-saving for the state
What are the disadvantages of arbitration?
Can be formal
Not suitable if the dispute involves a point of law
Lack of public awareness/popularity
Inconsistencies in decisions
What are the disadvantages of conciliation?
Not legally binding
No guaranteed decision
No appeals
No legal aid
What are the advantages of negotiation?
Quick
Free
Parties in control, can be informal
Maintains relationship
What are the disadvantages of negotiation?
Few downsides if private
If a solicitor is involved:
Costly
Offers exchanged but not agreed until court, wasting time + money
People may feel they aren’t getting as much as they would in court
