Alternative Dispute Resolution

• Mediation – a process by which an independent third party, a mediator, is appointed to assist and facilitate resolution.  The mediator is a specially trained professional who is jointly appointed by the parties. Mediation can be used prior to or in parallel with the litigation process. It can be a relatively cheap and quick way to settle disputes provided that all parties are willing to compromise to achieve  a settlement.
• Arbitration – this is most frequently used in construction and insurance disputes. The process is governed by statue and is overseen by an arbitrator who generally has a professional background in the same field as the dispute. The arbitrator considers the evidence and makes an enforceable award which is binding upon the parties. Arbitration can therefore be preferable to mediation. Although more expensive than mediation arbitration is generally less costly than court proceedings.
• Adjudication – is used when disputes arise during the course of a contract or to deal with a limited issue swiftly and without jeopardising the remaining contract. The parties will agree at the time of entering into the contract that disputes will be referred to a third party adjudicator rather than to terminate the contract and commence court action. Adjudication is generally a quick process whereby an adjudicator is appointed and required to consider the parties’ evidence and make a decision at a convened hearing, all within a 28 day period.

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