Mediation vs. Arbitration and Litigation Parties in disputes have several options to try to resol...

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Mediation vs. Arbitration and Litigation Parties in disputes have several options to try to resolve their disagreements they can either file a lawsuit in court, or they can pursue an alternative dispute resolution (“ADR”) method such as arbitration, mediation, or litigation. by Mind Map: Mediation vs. Arbitration and Litigation Parties in disputes have several options to try to resolve their disagreements  they can either file a lawsuit in court, or they can pursue an alternative dispute resolution (“ADR”) method such as arbitration, mediation, or litigation.

1. Arbitration does not always reduce the costs of resolving a legal problem. This is because arbitration can vary in complexity and can take many forms, some of which may actually be more likely to increase the costs versus litigation. As one example, arbitrations can be binding or non-binding. In non-binding arbitrations, the final decision or award in the case is not "binding" and the parties are free to take their issue back to court, essentially adding the cost of litigation to that of the prior arbitration.

2. The arbitration decision is final. There is no formal appeals process available. Even if one party feels that the outcome was unfair, unjust, or biased, they cannot appeal it Just like they aren't always cheaper, arbitration's are not necessarily always faster than litigation. This is particularly possible in cases with multiple parties, multiple arbitrators, and complicated legal disputes.

3. Some arbitrators are subject to continuing education requirements. Members of the AAA roster, for example, must complete two and a half hours of approved training every year. Additionally, those who continue their law careers while serving as arbitrators might need to fulfill continuing education requirements to maintain their licenses. Other professionals, such as real estate agents and architects, will also need to renew their credentials at regular intervals.

4. Another key qualification for arbitrators is expertise in the industry or legal specialty in which they will handle disputes. Aspiring arbitrators should expect to spend several years practicing law or working in a business, government agency or other organization. The amount of experience required varies widely. Applicants for arbitration rosters and panels could need anywhere from 5-15 years of related work experience. Arbitrators typically find work by belonging to panels or rosters. These are listings of prescreened arbitrators who've been vetted or certified by a state court or professional arbitration association to serve in various specialty areas. These lists are provided to parties entering the arbitration process.

5. arbitrators who choose to prepare for this career by practicing law need to become licensed attorneys once they complete law school. State requirements vary, but licensure is usually achieved after earning a law degree, applying for admission to the state bar association and passing the bar exam. Others who hope to specialize in such industries as construction or real estate will also need state-issued licenses in order to begin acquiring work experience as real estate agents, contractors or architects, for example. This usually entails meeting a state's combination of education, experience and exam requirements.

6. Arbitrators must obviously have strong reasoning ability and communication skills. They should also be decisive. In 2015, the U.S. Bureau of Labor Statistics reported that arbitrators, mediators and conciliators together earned a median annual salary of $58,020, a bachelor's degree is the first step toward a career in arbitration. Arbitrators are highly experienced lawyers or business professionals who have extensive knowledge of a particular industry or body of law. Master of Business Administration (MBA) could prove to be the most relevant graduate degree option. Normally, a law degree takes three years to complete, while an MBA can be earned in two years. Both programs provide a broad professional education. Law schools, however, generally offer more opportunities to begin specializing in arbitration.

7. Once an arbitrator is chosen, they will select the date, time, and location of the arbitration. A general timeline consists of three to six months from the filing of the arbitration to the final payment date. American Arbitration Association (AAA) rules state that any claim under the amount of $75,000 can be fast-tracked to be completed even faster. Under a fast-track arbitration, the arbitrator sets a hearing date within 30 days of the legal claim (

8. Both parties agree to the arbitrator, resulting in a fair outcome, especially when compared to a traditional legal trial in which neither party has control over the jury or judge selection. Parties can also agree to choose an arbitrator that has experience in their specific area of legal dispute. A legal resolution through arbitration is much quicker than waiting for a trial date. Arbitration is less formal and more flexible in terms of scheduling. The discovery process is a simple phone call, cutting down on much of the traditional trial process(

9. With mediation, only the parties involved will be responsible for resolving the issue. No outside party will make any decisions. Mediators are not responsible for making a final decision. Instead, mediators help to outline the issue and facilitate communication so that the parties hopefully can agree to a mutually beneficial settlement.

10. The standards used by an arbitrator are not clear, although generally the arbitrator is required to follow the law. However, sometimes arbitrators may consider the “apparent fairness” of the respective parties’ positions instead of strictly following the law, which would result in a less favorable outcome for the party who is favored by a strict reading of the law. Although this issue has been present since antiquity (Aristotle said “? an arbitrator goes by the equity of a case, a judge by the law, and arbitration was invented with the express purpose of securing full power for equity.” [3], this consideration is often overlooked in evaluating the applicability of arbitration.

11. parties in an arbitration are usually encouraged to participate fully and sometimes even to help structure the resolution, they are often more likely to work together peaceably rather than escalate their angst and hostility toward one another, as is often the case in litigation. Arbitration involves settling a legal dispute without going to trial. Going to trial can be expensive and time-consuming, meaning arbitration can be advantageous to many people(

12. Mediators attempt to resolve conflicts between parties before the dispute ends up in court. Mediation can keep disputing parties amenable, prevent costly trial expenses, and relieve overtaxed court systems. These professionals might work with individuals, families, governmental entities or corporations. For example, they might serve as liaisons between businesses and workers. Participation in mediation is voluntary for the parties involved in the dispute. Although mediators can make suggestions regarding ways to solve disputes, their advice is not legally binding.

13. Either Party Can Withdraw Another disadvantage of mediation is that either party can withdraw from the proceedings at any time. In litigation, the only party that can withdraw is the plaintiff, if they drop the suit. This means that even the party that is ‘at fault,’ can withdraw if they are not happy with where the mediation process is headed.

14. Greater Flexibility and Control: In mediation, unlike in a lawsuit, the parties are in control. This means that the parties have a much greater say in negotiations and greater control over the outcome. Mediation is an alternative solution for resolving legal disputes and allows people to avoid going to court. This process is particularly beneficial in emotional cases

15. Less Expensive: Mediation is vastly less expensive than a typical lawsuit. Employing a mediator costs significantly less than employing a lawyer, and combined with the much quicker turnaround, you'll be paying less money over a shorter period of time. In addition, for certain types of disputes, many non-profits offer mediation services for free or at a nominal rate.

16. Mediation is an extremely quick process or it can be an extremely quick process if the parties involved make it quick. Why? There is no judge, no court date and no lawyers involved. Because the parties involved with mediation make their own decision on the outcome, this makes the process quite quick. During mediation, two people who are involved in a legal dispute will meet and attempt to settle a disagreement with the help of a mediator, which is a neutral third party.

17. It's very common for mediation to end without the parties successfully reaching a settlement agreement. For instance, the parties might spend a tremendous amount of money, effort, and time only to find that resolving a dispute through mediation is impossible and that they will need to go to court after all.

18. It is rare that the complete truth of an issue is revealed during mediation. Although, in a court case, attorneys will have the ability to procure evidence and call witnesses, which is not available in mediation. In addition, courts are set up so that both parties in a case will be treated fairly. While this is also a goal in mediation, fair treatment can be hard to achieve in certain circumstances. There is no discovery process like there would be in mediation. If a party relies on information from the other party to help prove their claim, there is no formal method to acquire this information during mediation (

19. State-by-State Guide to Court Mediator Certification Training in Mediation State-sponsored programs, educational institutions, mediation associations, and commercial mediation centers offer mediation training. Training programs can run from a few days to several weeks. They might be conducted online, in classrooms, or through home-study materials. Coursework often covers negotiation skills, research techniques, communication, and diversity training. College graduates also might consider pursuing a postgraduate certificate program in mediation. Programs generally require 12 credits, of which three or more might include an internship or practical experience. Applicants are usually able to choose a specialization, such as organizational conflict or family relations.

20. Experience Experience requirements vary by state, but most include a minimum number of mediations performed either independently or under the supervision of a mediator mentor. Some states will also accept mediation experience in place of other requirements. In Louisiana, for example, a person must be licensed to practice law in the state or have mediated at least 25 disputes or engaged in more than 500 hours of dispute resolutions.

21. Training States with official court mediator rosters usually require between 20 and 40 hours of approved mediation training. Of those states with comprehensive statewide standards, the majority require greater training for neutrals who wish to mediate family disputes than for those interested in civil disputes. Domestic relations cases often involve high conflict and most of the parties in such cases are self-represented litigants. Mediators in family cases also often work with parties who are unfamiliar with the law, so it’s important that family court mediators are intimately aware of the nuances related to such cases.

22. Education Few states require a law degree to be recognized as a court-approved mediator. In some states, a bachelor’s degree in a specific field may be required for family court mediators. For example, the Pennsylvania Supreme Court minimum requirements for custody mediators includes a bachelor’s degree in law, psychiatry, psychology, counseling, family therapy or any comparable behavioral or social science field. Waivers may also be available to allow experienced mediators to bypass education requirements. Mediators usually need a bachelor's degree to begin their careers. Bachelor's degree programs in mediation and conflict or dispute resolution are available at some universities. These programs typically include courses in interpersonal communication, psychology, and negotiation strategies. Sometimes, a certificate in mediation can be earned alongside a bachelor's degree in another discipline. An aspiring mediator also might earn a bachelor's degree in a different field with the expectation of attaining additional education.

23. Disadvantages of mediation.

24. Advantages of Arbitration

25. Mediatior Qualifications

26. Advantages of Mediation

27. Disadvantages of Arbitration

28. Arbitrator Qualifications