DISPUTE RESOLUTION

Dispute resolution is the process of resolving disputes between parties by meeting at least some of each side’s needs and addressing their interest. It generally refers to one of several different processes used to resolve disputes between parties, including negotiation, mediation, arbitration and litigation.

Negotiation is the easiest mode of dispute resolution. Negotiation allows the parties to meet in order to settle a dispute without need for external influence. It is a dialogue between two or more people or parties, intended to reach an understanding or to resolve a point of difference, it aims at compromise.

Negotiation has many advantages, it’s speedy and informal which makes it less stressful, it avoids publicity so matters remain confidential, it is flexible as there is no fixed time for meetings and it doesn’t have to follow legal procedure and parties have supreme power to create their own agreement.

However, it does have its disadvantages. The parties are not obliged to follow decisions made. As a result of the lack of a neutral party, it may be very difficult to reach an agreement especially if opinions are very distant. Also, it doesn’t protect the rights of the parties involved especially where there is an imbalance of power.

Another means of dispute resolution is mediation. It is used as a form of alternative dispute resolution. Typically, a third party, the mediator is involved and he/ she assist the parties to reach an agreement. The mediator acts as a neutral third party and facilitates rather than directs the process.

Mediation also has its benefits. It is relatively cheap, while a mediator may charge a fee comparable to that of an attorney; the mediation process takes much less time than moving a case through normal court procedure, taking less time means spending less money on hourly fees and costs. Mediation is also confidential, while court hearings are public, mediation remains strictly confidential. No one but the parties to the dispute and the mediator know what happened. It also allows for control, mediation increases the control the parties have over the resolution. In a court case, the parties obtain a resolution, but control resides with the judge or jury. So, mediation is more likely to produce a result that is mutually agreeable for the parties.

However, it also has its disadvantages. Disclosure of Information and truthfulness of parties depends on good faith which cannot be compelled by mediation. Mediation is more expensive in most cases than negotiation as the mediator will be paid. Incompetent mediators can also worsen the situation between parties.

Arbitration is another form of dispute resolution. It is a technique for the resolution of disputes outside the courts, where the parties to a dispute refer it to one or more persons by whose decision they agree to be bound. It is a resolution technique in which a third party reviews the evidence in the case and imposes a decision that is legally binding for both sides and enforceable.

The benefits of arbitration are as follows, when the subject matter of the dispute is highly technical, arbitrators with expert knowledge can be appointed but you cannot choose the judge" in litigation. Arbitration is often faster than litigation in court. Arbitration can be cheaper and more flexible for businesses. Arbitral proceedings are confidential and private.

On the other hand, Arbitration also has its downsides. In some arbitration agreements, the parties are required to pay for the arbitrators which make arbitration expensive. There are very limited avenues for appeal, which means that a wrong decision cannot be easily overturned. Although usually thought to be speedier, when there are multiple arbitrators on the panel, juggling their schedules for hearing dates in long cases can lead to delays.

Litigation is the final form of dispute resolution. It is the act or process of bringing or contesting a legal action in court. It is the process of taking a case through court. The litigation or legal process is most common in civil lawsuits. In litigation, there is a plaintiff (one who brings the charge) and a defendant (one against whom the charge is brought).

It is a very formal process which reduces bad behavior. Parties are compelled to attend unlike the other forms of dispute resolution. Decisions made here are binding on the parties and it creates judicial precedent.

However, it is time consuming. Also, the parties do not play a part in making decisions.  It is expensive and it is a very public affair.

The different types of dispute resolution are very important when it comes to pathways that should be taken in deciding cases. However, it is essential to know that litigation should not be the first option but the final one. If all else fails, then the matter should be taken to court.

Written by Ogunsakin Ifeoluwa,  an aspiring legal practitioner.