Most cases using ADR go to mediation, but ADR is a spectrum from simple negotiation through to binding arbitration.
Management panels - eg for commercial contracts and major infrastructure projects. Negotiation by decision-makers from both sides, preferably the most senior people - this avoids communication problems and delays while decisions are approved.
Mediation - structured negotiation with a neutral acting as a conduit to help the parties reach a settlement. By far the most popular form of ADR, there is no judge or arbitrator, and the mediator imposes no decision on either side.
Conciliation - much used in the construction industry. Little different to mediation, except the conciliator plays a more active role by giving his opinion on the issues if necessary.
Mini-trial or executive tribunal - a formalised settlement conference where each side's representative makes a short presentation to a panel of a senior person from each party and a neutral adviser. The outcome is not binding until a settlement agreement is signed.
Adjudication - the appointment of a third party to decide the issue. A step up from the purely consensual process of mediation. Depending on the terms of appointment, the adjudicator's decision can be absolutely binding, or not, for a set period or indefinitely.
Med-Arb - a combined process, starting with mediation which goes on to formal arbitration if no settlement is made by consensus. The outcome is a binding resolution, either because mediation produced a settlement, or the arbitrator decides it.
For further information please contact Mike Henley, e-mail: Click Contact Link , Tel: + 44 113 284 7000
This article was first published in a special supplement to the March 1999 Hammond Suddards Commercial Dispute Resolution Newsletter
The information and opinions contained in this article are provided by Hammond Suddards. They should not be applied to any particular set of facts without appropriate legal or other professional advice.
Management panels - eg for commercial contracts and major infrastructure projects. Negotiation by decision-makers from both sides, preferably the most senior people - this avoids communication problems and delays while decisions are approved.
Mediation - structured negotiation with a neutral acting as a conduit to help the parties reach a settlement. By far the most popular form of ADR, there is no judge or arbitrator, and the mediator imposes no decision on either side.
Conciliation - much used in the construction industry. Little different to mediation, except the conciliator plays a more active role by giving his opinion on the issues if necessary.
Mini-trial or executive tribunal - a formalised settlement conference where each side's representative makes a short presentation to a panel of a senior person from each party and a neutral adviser. The outcome is not binding until a settlement agreement is signed.
Adjudication - the appointment of a third party to decide the issue. A step up from the purely consensual process of mediation. Depending on the terms of appointment, the adjudicator's decision can be absolutely binding, or not, for a set period or indefinitely.
Med-Arb - a combined process, starting with mediation which goes on to formal arbitration if no settlement is made by consensus. The outcome is a binding resolution, either because mediation produced a settlement, or the arbitrator decides it.
For further information please contact Mike Henley, e-mail: Click Contact Link , Tel: + 44 113 284 7000
This article was first published in a special supplement to the March 1999 Hammond Suddards Commercial Dispute Resolution Newsletter
The information and opinions contained in this article are provided by Hammond Suddards. They should not be applied to any particular set of facts without appropriate legal or other professional advice.
