Alternative disputes resolution

introduction to Business Law

Introduction

Besides than court system, there are other ways for people to solve their disputes. Due to the inefficiency of the court system, 2 main alternative dispute resolutions such as mediation and arbitration are to be introduced. Alternative Disputes Resolution also known as ADR refers to settling the disputes outside the court. ADR includes neutral evaluation, negotiation mediation and arbitration. As the court queues increase, rising costs of litigation and time delay, ADR program is introduced. Mediation is a completely voluntary and confidential form of alternative dispute resolution. It is also a fair and efficient process to help employer resolve employment disagreement and reach an agreement. In mediation process, it involves an independent and fair person helping 2 or more individual or groups to reach a solution that is agreeable and acceptable by everyone. Mediator can talk to both sides together and separately. Mediators do not make judgement or decision. They ask question that help to solve problems and assist both parties to understand the issues and help them to clarify the options for resolving their differences. By choosing a mediator, it can resolve employment discrimination disagreement by promotes a better working environment and reducing costs. The aim for mediation is to restore and maintain the employment relationship. Which means the main focus is working together along, not to determine who was right or wrong in the past. Many kinds of argument can be mediate if those involves want to find a way to move forward. The main advantages of this mediation are allowing both parties to control the process and the solutions.

Explanation

Mediation is a form of ADR. ADR stands for Alternative Dispute Resolution. The term ‘ADR' covers all the alternatives to judicial resolution of conflicts. Mediation is the process whereby a third party acts as the middle man through which 2 dispute parties communicate and negotiation, in an attempt to reach a common judgement to all the problems. Mediators are individuals who are trained for negotiation and they may move between the parties and communicating their opinion with the parties. Mediators also may operate in the occupancy of both parties. Mediation has also become a method for resolving disputes between investors and stock brokers.

Mediation in Divorce

Mediation play an important role in a family matters. In divorce cases, mediation has been used to enable both parties to work out an agreed settlement rather than having one of them imposed outside by the court. The important of mediation was strengthened in the Family Law Act 1996, but it is important to realise that there are potential problems with mediation. In marriage guidance, mediation is to be provided on a funded basis, by the Legal Aid Board. Mediation is not to grant unless it is appears to be suitable for the case. There is a Code of Practice which must keep the possibility of reconciliation under review throughout the mediation and inform clients about the availability of the independent legal advice. Mediation is to be offered at an early stage in the new process. This will be done by invitation to the party filing the Statement to attend a meeting with a mediator to explore whether advantage can be taken of the facility. The court will be able to adjourn proceedings for the meeting with the mediator so that the court may be informed whether the appointment was kept and whether the appointment was kept and whether mediation will be used. It remains to be seen whether the introduction of mediation will be success story. While debate in the House of Commons rumbled on to the effect that ‘it is better to have mediation than to have lawyers arguing about costs', in the House of Lords it was recognised that success depends very much on the qualities and background experiences and training of the mediator.

Advantages of Mediation

  • Free

Mediation is available for free for both parties.

  • Fair and neutral

Both parties can decide the settlement terms and condition by themselves. There are no determinations of guilt or innocence in the process of mediation.

  • Saves time and money

Mediation occurs at the early stages of the charges process, and a lot of mediations are completed in 1 meeting. Legal representations are optional but not required.

  • Confidential

All parties will sign a confidential agreement. Information that is disclose during mediation will not be reveal to anyone include the legal staff.

  • Improves communication

Mediation provides a neutral setting where both parties can discuss their views on the underlying disputes. Enhanced communication can lead to satisfactory resolution.

Disadvantages of Mediation

  • Having a lawyer

Some of the people they wish to have their lawyer to be present but it has to be approved by another parties.

  • The agreement is legally binding

The agreement between parties that involved is legally binding in most judicial systems. The agreement is documented with the written word. When there are no lawyer present, some people might be hesitant to sign the agreement without review it.

  • Anything can be mediated

With mediation, anything can be mediated. The smallest of disagreement, such as dispute over an electric bill can be mediated. There are no limitation on amount of money that involved in mediation. As long as the disputes does not required judicial to resolve, then it can be mediated.

  • The mediator is an outside party

The mediator that is hired is an outside party. He or she does not have any previous knowledge of the case. This can be somehow a difficulty in the process.

  • Either party can withdraw

Another disadvantage of mediation is that either party can withdraw from the proceedings at any time. In litigation, the only party that can withdraw is the plaintiff, if they drop the suit.