Mediation and arbitration are two forms of Alternative Dispute Resolution that have emerged as methods to resolve conflict without resorting to litigation. Mediation is a process that introduces a third party adviser to a situation. This adviser listens to both sides and makes suggestions about how the responsibility for the conflict can be divided so that both parties agree. Mediation is not designed to find one party at fault or to declare a winner, rather, it s designed to create a win-win solution. Arbitration, on the other hand, is a process that declares a winner .
Arbitration is a process that has been characterized as a rent a judge procedure.
If two parties agree to arbitration, they allow a private judge to reach a verdict in their dispute. Arbitration can be either binding, which means no appeal can be made, or non-binding. The advantage to both of these processes is that they re quicker and less expensive than trial litigation. For more information about alternative dispute resolution, contact a real estate lawyer in your area.