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RESOLVING INTERNATIONAL COMMERCIAL DISPUTES, ALTERNATIVE DISPUTE…
RESOLVING INTERNATIONAL COMMERCIAL DISPUTES
ALTERNATIVE DISPUTE RESOLUTION
A faster, cheaper, and more efficient alternative to resolving international commercial disputes than litigation.
1
MEDIATION
A process whereby an impartial third party assists the disputing parties in resolving the dispute
Advantage
The costs are much lower, more control over the outcome, a resolution can be reached faster, the process is private with no court intervention.
Disadvantage
There is no guarantee that there will be a resolution, it is an informal process, and the settlement can be disputed.
A voluntary, non-binding conciliation process
2
ARBITRATION
A process more formalized than mediation of which the outcome is binding and enforceable
A Process whereby the disputing parties agree on one or several individuals able to make a decision to resolve a dispute after being presented with evidence
Disadvantage
The process remains relatively informal and parties will have limited rights to approach the court should they wish to appeal the resolution.
Advantage
A cost effective process whereby the arbitrator may be chosen, the right to appeal is limited, and the final resolution is drafted by a neutral individual.
3
LITIGATION
This process usually involves a contested action whereby a judge will make the final binding decision for the parties involved unless they are able to find resolution and settle before trail commences.
The final alternative available in resolving a dispute
Disadvantage
The process is costly and proceedings will be open to the public. The case might take a very long time to present and argue and for final judgement to be delivered. The final judgement is also subject to appeal by the parties involved.
Advantage
The parties involved are compelled to comply with the judgement, the judgement could possibly set a precedent, parties are able to obtain information from each other, and will have a right to appeal the outcome.