Alternate Dispute Resolution

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Definition: Alternate Dispute Resolution

Alternate dispute resolution refers to any mode of dispute resolution that does not involve legal litigation. Parties form contracts before performing ADRs and the court may be asked to review the validity of the ADR, but the court rarely overturn the ADR decisions made.

There are predominantly two forms on ADRs, namely arbitration and mediation. But typically includes early neutral evaluation, conciliation, mediation, and arbitration. Negotiations almost always form a first step in the process. Negotiation allows the parties to settle the dispute on their own with mutual discussion and consent.

Mediation is an informal alternative to litigation. Mediators are involved in the process are trained in negotiation, and bring opposing parties to a mutual agreement on the terms of resolving the issue at hand.

Arbitration is a simplified means of a trial involving limited discovery and simplified rules. The arbitration is headed and decided by a arbitral tribunal. The arbitrator is selected by the parties or one each by each party and the 3rd one by the arbitrators themselves.



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