ADR

• What are the advantages of the civil court system?

  • A legally qualified judge
  • A binding judgement is made
  • There is an appeal process
  • Legal funding is available
  • Judicial precedent ensures fairness and consistency
• What are the disadvantages of the civil court system?

  • Expensive
  • Slow and complex
  • Open to the public
  • Formal and inflexible
  • Adversarial in nature
  • Intimidating
  • Can ruin good relations
  • No technical expertise
• What must a claimant consider before taking court action?

  1. The likelihood of winning
  2. The Defendant's ability to pay damages
• What are the four main types of ADR?

  1. Negotiation
  2. Mediation
  3. Conciliation
  4. Arbitration
• What is negotiation?

  Negotiation involves the dispute between the parties themselves. It involves an offer and an acceptance. E.g - returning faulty goods to a shop
• What are the advantages of negotiation?

  • Completely private
  • Quick resolution
  • Maintains good relationships
  • Informal
• What are the disadvantages of negotiation?

  • Involving solicitors can make it costly
  • Settlements aren't always agreed on and the matter still goes to court
  • There is wasted time and money
  • People think they do not get as much as they would if they went to court
• What is mediation?

  Mediation is a voluntary, confidential process which uses an independent third party to assist the parties in coming to their own agreed solution
• What is the independent third party in mediation called?

  The 'mediator'
• What are the advantages of mediation?

  • Faster and cheaper than court action
  • More confidential and flexible
  • Less formal
  • Not adversarial so avoids loss of good relations
  • Both parties have control of the outcome
  • The mediator is agreed upon by both parties and is completely independent
• What are the disadvantages of mediation?

  • It can take 3 - 5 days compared to 1 day in court
  • There is no guarantee the matter will be resolved
  • The final decision is not automatically binding (not legally enforceable)
  • If a party feels "forced" into it a half-hearted decision may be reached
  • Legal funding is not always available
• What is conciliation?

  Conciliation is a similar process to mediation where an impartial third party will suggest grounds for compromise to the two parties to aid them in coming to an agreement
• What is the impartial third party in conciliation called?

  The 'conciliator'
• What is arbitration?

  Arbitration is the most formal from of ADR, where a neutral third party binds the parties to the terms of a decision
• What is the neutral third party in arbitration called?

  The 'arbitrator'
• What are the advantages of arbitration?


  • Faster and cheaper than court action
  • Parties can choose who their arbitrator is - legal/technical expert
  • The procedure is less formal and more flexible
  • The decision is binding (legally enforceable) on the parties
  • The process is very clear to the parties
• Which statute protects the process of arbitration?

  The Arbitration Act 1996
• What are the disadvantages of arbitration?


  • It is the most similar to a court hearing - sometimes expensive and slow
  • A non-lawyer arbitrator would not know how to solve any unexpected legal issues
  • Rights of appeal of arbitration are limited
  • Legal funding is not available