Dispute Resolution Processes
Statistics consistently show that over 95% of civil lawsuits and personal injury claims are settled out of court. This happens for a variety of reasons, including cost savings, quicker resolution, and greater control by the parties over the outcome. They also demonstrate that third-party neutral mediators are crucial in this process by leading the parties to an agreement. This is particularly true where the parties seem to be deadlocked. Few other processes have a success rate that high.
Mediation
The mediator serves as an agent of "all of the parties" retained to assist them in resolving the dispute. Unlike a judge or arbitrator, the mediator lacks authority to impose a solution.
- Mediation is a voluntary, confidential process in which a highly-trained, neutral mediator helps parties resolve a dispute or conflict. The mediator does not decide the outcome but facilitates productive communication, identifies areas of agreement, and assists the parties in reaching a mutually acceptable resolution. Because the parties retain control over the final agreement, mediation often leads to practical, lasting solutions tailored to their unique needs.Mediation is used in every type of civil dispute, including employment relations, class actions, personal injury claims, commercial disputes, community relations, construction law, education, environmental law, family law, franchise disputes, insurance coverage claims, legal and/or medical malpractice, product liability, public policy, property damage, professional reorganization, real estate, racial and ethnic concerns, tort claims, and international relations.Most trial and appellate courts have judicial requirements that the parties engage in mediation to determine whether a trial is actually necessary. Mediation programs are also encouraged and sponsored by governmental agencies, bar associations, business organizations and civic and religious groups.Advantages of Mediation:• Guidance from an experienced, professionally trained neutral mediator • Greater flexibility and control over the outcome • A confidential process • Reduced litigation costs and time • Preservation of personal and business relationships • Finality through mutually agreed resolution
Arbitration
Unlike Mediation, the Arbitrator Serves as a Neutral Decision-maker
Arbitration is a private, binding dispute resolution process based on the parties’ agreement to arbitrate. Unlike mediation or informal negotiations, the arbitrator serves as a neutral decision-maker who hears evidence and arguments, then issues a decision determining the parties’ rights and obligations.
While less formal than court litigation, arbitration follows a relaxed, structured hearing process designed to ensure fairness and efficiency.
Advantages of Arbitration
• Faster resolution compared to traditional court proceedings
• Streamlined discovery and reduced information-gathering expenses
• Decision-makers with subject-matter expertise
• Flexibility and control of hearing dates, duration and location
• Limited grounds for appeal, providing certainty and closure