Alternate Dispute Resolution Essay

775 words - 4 pages

Arbitration 
For a dispute to be resolved through arbitration it is necessary that the two parties had agreed and had a clause on arbitration as the dispute resolution procedure at the time of getting in to the contract. Disputes arising from the contract will be referred to the arbitrators. It is a dispute resolution process where the opposing parties select or appoint an individual called an Arbitrator or a panel of arbitrators.
Usually one arbitrator is appointed from each party and the two arbitrators appointed will select the third arbitrator to act as the chairman of the panel. Upon appointment, the Arbitrators will arrange the process to hear and consider the evidence, review ...view middle of the document...

The Mediator is selected by the parties and once selected, the Mediator along with the parties will arrange the mediation process.
The Mediator can make no binding decisions but acts as a facilitator by using various procedures, techniques and skills to help the parties resolve their issues by negotiated agreements. The mediator can have separate consultation with the parties and draw up terms which he considers to be fair to solve the dispute. He will also advise parties on probable consequences of going for arbitration or litigation if mediation fails.
If the parties can't reach a settlement agreement, they are free to pursue other options. It is particularly valuable to try mediation in situations where the parties are going to need to keep working together in the future.
Settlement is achieved by agreeing to take into account a broad range of aspects, especially concerning commercial and business interests. The process is flexible and can be tailored to the individual needs of parties.
The act governing mediation in Sri Lanka is the Mediation act of 1988. Under this act when the value of a claim is less than Rs25,000 it is mandatory that mediation is resorted first since court action is permitted only in the event of failure of mediation

Conciliation
Conciliation is a dispute resolution process in which the parties freely choose to participate and any agreements reached to settle disputes is done solely by...

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