When in need of an alternative dispute resolution, many people turn to arbitration and mediation services. As an impartial third party, an arbitrator can help two sides reach an agreement, and this process can be far less costly and time-consuming than dealing with lawsuits. To help you decide whether mediation or arbitration is right for you, the following guide highlights the differences between them. 

The Differences Between Mediation & Arbitration

When relying on arbitration, the disputing parties hire an individual to come to a decision that is usually binding. In other words, the arbitrator has the power to make a decision which both parties must follow—this is similar to the power of a judge in court. Throughout the process, evidence and testimony will generally be presented before a decision is made. Additionally, this process can be adapted based on the specific situation and the needs of both parties.

In mediation, however, an impartial party provides non-binding assistance, allowing individuals to reach a conclusion to their dispute. Mediators can introduce new perspectives, offer innovative solutions, and help the two sides reach an agreement.

When Should You Rely on Arbitration or Mediation

Many different situations and conflicts can benefit from the services of an arbitrator or mediator. If two parties experience conflict regarding contractual obligations, property, employee discharge, or discrimination, then they might benefit from this service. Arbitration provides additional advantages, such as lower costs, faster resolution than litigation, and confidentiality.

 

If you need help resolving a legal dispute without worrying about the cost and time commitment of litigation, turn to Lou Chang in Honolulu, HI. With more than 40 years of experience, he provides mediation and arbitration services for companies in Hawaii, Guam, the Pacific, and the western United States. As a member of the National Academy of Arbitrators, he can settle your dispute quickly and efficiently. To learn more about his work as a mediator and arbitrator, call today at (808) 384-2468 or connect with him online.