Arbitration is one of the methods of Alternative Dispute Resolution (ADR) which resolves dispute out of court by agreement of the parties involved. It is a less expensive way of dispute resolution and the rules on presenting evidence are far simpler and liberal than court litigation. In contracts, the parties usually stipulate an arbitration clause which provides that should a dispute arise between them, it will be resolved by arbitration by the ways and processes also stipulated in the contract. However, arbitration may also be done even without a pre-existing contract, as when the parties agree to arbitrate after the dispute has arisen. Once the parties have submitted themselves to arbitration, the person/s who will serve as arbitrators will be chosen. The parties must be in agreement in selecting the arbitrator/s, sometimes agreeing to one arbitrator. There are also times when there are three arbitrators: both sides name their respective arbitrators, and the two named arbitrators will select the third member of the arbitration panel. Any award made by the arbitrator or the panel of arbitrators, as the case may be, is binding, but may be appealed in court.
Mediation, on the other hand, is also a method of ADR wherein the parties involved in a dispute are brought together to negotiate a solution to their dispute. Unlike arbitration, mediation does not impose an award but the parties are given the chance to come up with a solution that is agreeable to both parties. Mediation is sometimes required before parties in a dispute proceed to court trial. An attorney who wishes to practice in ADR must first be trained in a program available in his State since ADR is a relatively new area in legal practice. According to Andrea Goldman, a partner in the law firm of Gately & Goldman, LLP, in Newton, Massachusetts, in her article posted in the website of the American Bar Association, it is important to acquire mediation training and have experience in mediation in order for an attorney to market in ADR practice.
Find a Law Firm Near You, Enter Zip Below.
|Address:|| ||203 N. LaSalle Street, Suite 2100|
| || ||Chicago , IL 60601|
|Phone #:|| ||(312) 625-1799|