ADR refers to methods of dispute settlement outside of the courtroom. The new article by attorney Richard Kranitz discusses the most commonly used ADR methods.

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GRAFTON, WISCONSIN, UNITED STATES, April 8, 2019 /EINPresswire.com/ -- Are you stuck in a dispute with someone, but do not want to get into the hassle of a court case? You should consider an alternative dispute resolution. Richard A. Kranitz, in a newly published article, explains the alternatives. The full article will be published on his Blog at https://richardkranitzblog.blogspot.com/

What is Alternative Dispute Resolution?

Alternative dispute resolution, or ADR, is an umbrella term used for methods of dispute settlement outside of the courtroom, with the help of a neutral third party.

Since ADR programs are more expeditious and less costly than court cases, they present viable alternative solutions for dispute settlement. In view of the increasing costs of lawsuits and the time it takes to settle a dispute through litigation, ADR programs may present a better alternative, depending on the circumstances of the dispute. They are not only more expeditious and less costly, but also allow for more creative solutions that would be outside the court’s jurisdiction.

Unlike court cases, which are generally adversarial, ADR programs allow the opposing parties to better understand each other’s position. As a result, the Parties are more likely to collaborate and reach a mutually acceptable solution.

Alternative Dispute Resolution Methods

While there are many ways to settle disputes outside of the court, mediation and arbitration are the most commonly used ones.

What is Mediation?

Performed by a neutral third-party – a trained individual – mediation is an informal process to facilitate negotiations between the disputing parties and help them reach a consensus. Often courts have volunteer mediators who try to assist the Parties in reaching a mutually agreeable solution, sometimes in hallway just outside the courtroom.

The role of the mediator is to help both the Parties break the deadlock, explore their options and find a mutually agreeable solution. For this, the mediator may talk to the involved parties together or separately. While mediators can facilitate the process by providing options for possible solutions or by guiding the Parties, they cannot enforce anything. Also, they have to stay impartial throughout the process.

The mediation process also helps the Parties maintain a relationship, if they are interested in maintaining it. Since a mediator can help the parties communicate without getting emotions involved, they are likely to reach consensus in a nondestructive way. In fact, courts encourage mediation since it makes their job easier.

Mediation can be a better choice than litigation in case of a dispute between business partners, family members, neighbors, landlords and tenants, and labor issues with the management. It has also been increasingly used for divorce cases and to settle issues related to child custody.

Since mediation is generally voluntary (it is mandatory in some jurisdictions) and non-binding, both disputing Parties should be willing to negotiate, cooperate, and/or compromise. Mediation will not be effective otherwise.

What is Arbitration?

Arbitration is a simplified version of a court trial. Headed by a neutral individual or a panel, the process of arbitration involves hearing the claims of both sides, reviewing evidence, and then issuing a decision. Unlike mediation, the decision issued by the arbitrator, called arbitral award, can be binding or non-binding.

In case of binding arbitration, the Parties lose their right to a court trial and have to accept the decision of the arbitrator. In non-binding arbitration, the disputing parties can go for court trial if the arbitrator’s decision is unacceptable for them.

While the process sounds like similar to court proceedings, arbitration gives more power to the Parties. In arbitration, the disputing parties mutually decide the guidelines of the process as well as choose the arbitrator. In cases where the Parties cannot on one arbitrator, depending on the applicable arbitration rules, each Party selects one person. The two arbitrators will then elect another individual. This is done to ensure neutrality of the arbitration process. The Parties also have the choice to either hire lawyers to speak for them, or they can choose to present their cases themselves. Arbitration hearings can take one day, or possibly several days.

Final Word

Mr. Kranitz concludes that ADR processes are a compelling alternative to court trials. They not only allow for quick settlement of disputes and are less costly, but also increase the chances of finding a solution that is acceptable to both the disputing parties. While there are many different methods of alternative dispute resolution, such as case conferencing, neutral evaluation, parenting coordination, and conciliation, mediation and arbitration are most commonly used.

About Richard A. Kranitz

Richard Kranitz is an experienced attorney and business consultant in the areas of corporate, securities and tax planning for corporations, partnerships, joint ventures, limited liability companies, multi-unit enterprises, and a variety of different non-profit entities. In addition, he has counseled their owners and executives in compensation planning, estate plans, and asset protection.

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Richard A. Kranitz, Esq.
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