Civil litigation provides an avenue for resolving contract disputes, unpaid debts, and a wide range of private matters. However, because litigating cases is often a prolonged and expensive process, alternative dispute resolution may be the preferred approach. Arbitration and mediation allow you to settle civil disputes without resorting to drawn-out litigation. Each method proceeds under the guidance of an attorney. Here’s a guide that explains the differences between the two.

The Differences Between Mediation & Arbitration

Understanding Mediation

Compared with arbitration and courtroom litigation, mediation is relatively informal and flexible. During mediation, opposing parties attempt to negotiate a settlement guided by a neutral third party, typically an attorney with specific negotiation experience.

Each party may be represented by an attorney and has an opportunity to present their side of the dispute. Although conclusions reached in mediation are not necessarily binding, they may lead to a formal, legally enforceable contract. If the parties can’t reach an agreeable solution, the case may proceed to trial.

The Role of Arbitration

Arbitration is a formal process, similar in many ways to an informal court hearing. Each side presents their case to an impartial arbitrator, who has the power to make rulings on the evidence and issue binding written opinions.

Unlike mediation, arbitration is not designed to negotiate mutually agreeable settlements. Instead, the arbitrator issues a legally binding decision, usually in favor of one party or the other. Once decided, cases resolved in arbitration can’t be taken to court.

Since 1899, businesses throughout southeastern Alabama have relied on Lewis, Brackin, Flowers & Johnson for effective representation in a wide range of legal disputes. Their attorneys have extensive negotiation and litigation experience, giving them the ability to fight for your interests at the negotiating table or in the courtroom. Visit their website to learn more about the firm, or call (334) 792-5157 to schedule an initial consultation.