Adr Dispute

Running Head: DISPUTE SUMMARY PAPER

Dispute Summary Paper

Business Law 415

Fatima Sensabaugh

Instructor James Zaccaria

Phoenix University

February 25, 2008

Alternate Dispute Resolution has many benefits serving as a legal substitute for resolving civil disputes. Most courts prefer the proceedings of an ADR as appose to Litigation. In some counties the option of ADR must be analyzed before attempting to initiate the proceedings of litigation. Most district courts along with appeal courts will oversee the negotiations of an ADR. In some circumstances ADRs do not settle well and in those instances the involvement of the courts will resolve the remaining disputes. Alternate Dispute Resolution is a large part of our legal system, which many citizens rely on to settle civil disputes. ADR has been a part of US legal history since the times of the colonies.

Alternate Dispute Resolution, better known as (ADR) in the legal field, was first used in the late 1800’s. ADR was initially used, not to replace judicial proceedings, but to work as a tool of resolve for matters like to civil struggle between laborers and management. ADR has various identifiable titles like mediation, negotiation and settlement. Congress authorized the process of ADR’s once becoming aware of independent civil bargaining in states like New York and Massachusetts. Following, official mediation agencies emerged. For example, the Board of Mediation and the National Mediation Board were two of the first ADRs to arise in the early 1900’s (Delaware, 2008). Around the same time, in 1913, the Newlands Act was passed in agreement of protecting the interest of voluntary negotiations. During the American Bar Association in 1932, lawyers were able to convince the courts to release qualifying cases to the process of mediation and collective bargaining. Lawyers argued that out-of-court negotiations would spare the time and cost of courts and parties alike. The courts agreed with the notion and soon followed. Later, throughout the civil rights movements of the 1960’s and 1970’s, Congress established the CRS, also known as, the Community Relations Service. Once the US Department of Justice founded this administration service, civilians in school, prisons and other civil matters could reap the benefits of conciliation.

The Superior Court of California, County of Santa Clara Alternative Dispute Resolution Information Sheet/Civil Division states, “ADR is the general term for a wide variety of dispute resolution processes that are alternative to litigation” (Santa Clara, 2002). The purpose of ADR is to save time and money, reduces stress, and provides more control, flexibility and participation in a legal matter. In regards to time, litigation can take years to close while the process of an ADR can take less than a month. The reduction or total omission of court cost, attorney’s fees and other proceeding expenses are possible when using the ADR in place of litigation. Most participants prefer the negotiations of an ADR as oppose to the stressful atmosphere of a litigation process. When using an ADR, the opposing parties have a broader arena of negations. Parties also have a better opportunity to express their concerns and interests during the negotiations of an ADR.

There are five main types of ADRs: Mediation, Arbitration, Neutral Evaluation, Special Masters and Referees, and Settlement Conferences. The mediation forum is very informal, informative and the decision of the dispute is decided upon by the participating parties and not the mediator. In Arbitration, there are two ways to resolve a dispute binding and non-binding arbitration. Once each side has argued their interest, the parties agree on a binding arbitration, which settles the dispute whether the opposing parties agrees on the decision of the arbitrary or not. On the other hand, a non-binding arbitration means the decision of the arbitrary can be rejected if one or both parties do not agree with the proposed decision. A Neutral forum, which is also informal, is used to help each party evaluate and dissect the matter. A non-binding decision is reach to resolve the dispute. Next, the Special Master and Referees are neutral parties hired to find facts regarding the matter to better assist the parties in an appropriate negotiation. Lastly, there is the Settlement of Conferences, which is a little more sophisticated and consists of experienced attorneys and retired judges. These entities act as mediators for the representing attorneys or participating parties themselves(Santa Clara, 2002).

The Superior Court of California, County of Santa Clara Alternative Dispute Resolution Information Sheet/Civil Division, also states that, “all matters shall be referred to an appropriate form of Alternative Dispute Resolution (ADR), before they are set for trial, unless there is a good cause to dispense with the ADR requirement”. In the state of Alabama, there are fifteen procedures used to qualify the official process of an Alternate Dispute Resolution. According to the Alabama Civil Court Mediation Rules include: (1) Definition of Mediation and Scope of Rules; (2) Limitation of Mediation; (3) Appointment of a Mediator; (4) Qualification of a Mediator; (5) Vacancies; (6) Assistance; (7) Time and Place of Mediation; (8) Identification of Matters in Dispute; (9)Authority of Mediator; (10) Privacy; (11) Confidentiality; (12) No Record; (3) Termination of Mediation; (14) Interpretation and