Alternative Dispute Resolution (ADR) refers to a range of processes and techniques designed to resolve conflicts and disputes outside of traditional court litigation. ADR methods, such as mediation, arbitration, negotiation, and conciliation, emphasize cooperation, efficiency, and flexibility. By focusing on dialogue and mutually beneficial solutions, ADR reduces costs, saves time, and fosters long-term relationships between parties. It is widely regarded as a cornerstone of modern conflict management, particularly in commercial, international, and community disputes, offering a less adversarial and more collaborative path to resolution.
Mediation is a peaceful way of resolving disputes where a neutral third party helps the individuals or groups in conflict communicate, understand each other’s perspectives, and reach a mutually agreeable solution. It is based on cooperation rather than confrontation and focuses on preserving relationships while finding practical outcomes.
Arbitration is a formal method of alternative dispute resolution where the conflicting parties present their case to a neutral third party, known as the arbitrator, who reviews the evidence and arguments before making a binding decision. It is less formal and often faster than traditional court proceedings but still provides a structured process similar to a trial. Arbitration is widely used in commercial and contractual disputes due to its confidentiality, flexibility, and finality of decisions.
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