What is Alternative Dispute Resolution?
Alternative Dispute Resolution (ADR) refers to a variety of methods for settling conflicts without having to go to court. This type of dispute resolution is of prime benefit, as it allows the disputing parties to monitor the process and conclude the alternative themselves.
Different types of ADR
The most prevalent four types of ADR used in civil matters are:
- Mediation
- Settlement conferences
- Neutral evaluation
- Arbitration
In mediation, a neutral person known as a "mediator" assists the parties to obtain a mutually agreeable resolution of the disagreement.
In arbitration, a neutral person known as an "arbitrator" hears both sides' arguments and evidence before deciding the resolution of the dispute.
In evaluation, each party has the opportunity to present their case to a neutral individual known as an "evaluator"
The parties and their counsel meet with a court or a neutral person known as a "settlement officer" to consider a possible resolution of their dispute.
Advantages of ADR
- Suitable for disputes between several parties
- In many cases, lower costs are free when consumers are involved
- Settlement facilities and speed
- Process flexibility
- Control of the process by parties
- Selection of the forum by parties
- Convenient solutions
- More questions may be taken into account
- Shared interests in the future can be protected
- Confidentiality
- Management of risks
- No need for lawyers in general
- An alternative less confrontable to the court system
