Alternative Dispute Resolution

Alternative Dispute Resolution

Alternative Dispute Resolution (ADR) is the procedure for settling disputes without litigation, such as arbitration, mediation, or negotiation. They are increasingly being utilized in disputes that would otherwise result in litigation, including high-profile labor disputes, divorce actions, and personal injury claims, where people are not being able to start any type of negotiation and reach the settlement. Additionally, parties to merger and acquisition transactions are increasingly turning to ADR to resolve post-acquisition disputes.

The following are the modes of ADR practiced in India:

  • Arbitration
  • Mediation
  • Conciliation
  • Negotiation
  • Lok Adalat

Benefits Of ADR:

  • ADR procedures are usually less costly, more expeditious.
  • ADR procedures are often collaborative and allow the parties to understand each other’s positions. Confidentiality is maintained.
  • ADR also allows the parties to come up with more creative solutions that a court may not be legally allowed to impose.
  • Generally, ADR uses neutral third party who helps the parties to communicate, discuss the differences and resolve the dispute.

Even though Alternative Dispute Resolution is intended to reduce the costs, stress, and formality associated with going to court, many parties still hire attorneys to represent them at ADR proceedings. They also seek out pre-proceeding consultations about possible solutions or strategies. Just as with any legal dispute, you should hire an attorney with experience in your particular legal issue who also is familiar with the collaborative process of ADR.