Our team are experts in guiding businesses through Alternative Dispute Resolution (ADR), creating legally binding outcomes which offer finality and certainty for all.
Alternative Dispute Resolution (ADR) refers to the processes used to resolve a dispute without a judicial determination. Parties to a dispute are always encouraged to try and resolve matters without going to court. Most commercial disputes are suitable for ADR, which can be more advantageous than going to court for a variety of reasons.
The benefits of ADR
- ADR offers a more informal option.
- There is more flexibility.
- The process can save time and be more cost effective.
- ADR minimises the resources associated with court proceedings.
- There may be the possibility to keep the dispute private and confidential with ADR.
- An unreasonable failure by your opponent to engage in ADR can lead to adverse cost consequences for them in subsequent court proceedings.
Different forms of ADR
There are a number of different methods associated with ADR, which include:
Mediation
Mediation is a form of assisted negotiation and is suitable for all types of commercial disputes regardless of complexity. It is a voluntary process in which a neutral third party, or mediator, assists parties to explore potential ways in which to settle the dispute. The mediator facilitates those discussions but has no authority to impose a decision. Our business mediation services are provided by experts who will ensure that all parties retain control, and may help parties reach solutions that would not be possible if a judge determined a dispute.
Adjudication
Adjudication is most commonly used to resolve disputes involving the construction industry. This is because parties to certain construction contracts have a statutory right to refer disputes to adjudication. The process is a lot quicker than court proceedings and results in an adjudicator making a determination that generally binds the parties and can be enforced through court proceedings if not adhered to.
Arbitration
Arbitration is a procedure where two parties agree to submit their dispute to a neutral third party, or arbitrator, who makes a binding decision on their behalf. The arbitrator listens to both sides, considers the evidence, and then makes a legally binding award based on their findings. This method can be particularly useful for commercial disputes which have an international element.
Expert determination
If a dispute involves issues that are particularly technical in nature, the parties can agree to refer those issues to be determined by an appropriately qualified expert. An expert’s evaluation is contractually binding on the parties and can be less costly than court proceedings as the parties may avoid the need to instruct their own expert witnesses.
