Question: 5. Alternative Dispute Resolution Methods Alternative Dispute Resolution Methods Introduction Read the overview below and complete the activities that follow. Many businesses and companies use
5. Alternative Dispute Resolution Methods
Alternative Dispute Resolution Methods
Introduction
Read the overview below and complete the activities that follow.
Many businesses and companies use alternative dispute resolution (ADR) to resolve their legal issues. Organizations often use ADR to resolve disputes involving contracts, insurance, labor, the environment, securities, technology, and international trade. The following exercise requires you chose the correct method of ADR used in some specific situations that business owners or managers may be confronted with. In doing so, you should become more familiar with the various types of ADR and how each type is used in business situations.
CONCEPT REVIEW:
The term ADR refers to the resolution of legal disputes through methods other than litigation, such as negotiation, mediation, arbitration, summary jury trials, minitrials, neutral case evaluations, and private trials. A business might prefer to resolve a dispute through ADR rather than litigation because ADR methods are generally faster and cheaper than litigation. Also a business may wish to avoid the uncertainty associated with a jury decision; many forms of ADR give the participants more control over the resolution of the dispute. A business may also wish to avoid setting a precedent through a court decision. Thus, many businesses prefer ADR because of its confidential nature and because many forms of ADR are less adversarial than litigation and the parties are able to preserve a business relationship.

Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
