It is very expensive, takes a long time, and causes a great deal of stress. In an effort to find a better method of resolving disputes, mediation and arbitration are becoming more popular. For example, if Mr. C complains that Mr. T's kids are too noisy, a mediator may suggest that Mr. T pays for a new fence between the properties. If a solution which is agreeable to all can be reached, litigation is avoided. If any one person disagrees with all proposed solutions, the litigation or arbitration alternatives remain available.
Mediation tries to reach a win-win result for everyone.
A winner is declared. In terms of result, arbitration does not seek a win-win resolution. Most arbitration is conducted by one person, although in appropriate circumstances, a three judge panel will make decisions. Some contracts require that each party select one arbitrator. Each biased arbitrator then picks a third, neutral arbitrator to make up a 3 judge panel.