Alternative Dispute Resolution (ADR) procedures are suitable for settling disputes out of court and are generally faster and less expensive than litigation. ADR gives parties in dispute the opportunity to work through disputed issues with the help of a neutral third party.

When used correctly, ADR puts the parties in control, by giving them an opportunity to voice their perspectives and have a say in the final decision. It also focuses on the issues that are most important to the people in the dispute and helps them come up with creative and flexible options by establishing what each party wants to achieve. ADR also helps to preserve relationships by helping people cooperate and produces good results, with settlement rates of up to 85%.

Types of alternative dispute resolution include mediation, conciliation and arbitration.

Mediation
• Mediation is a process where a mediator acts as an independent third party who does not have a role in deciding the outcome. They do not give their advice or opinion but instead focusing on assisting people to identify the disputed issues, develop options, consider alternatives and try to reach an agreement.
• The mediator’s job is to explain the mediation process and to ensure each person has a chance to talk, be heard and respond to the issues. They try to assist the parties to reach an agreement where appropriate and make sure everyone understands any agreement reached or refer other helpful services if required.
• Before mediation you can seek expert legal advice from a lawyer on your rights and responsibilities and on alternatives available if you are unable to reach an agreement.

Conciliation
• Conciliation is a process similar to mediation in that the conciliator acts as an independent third party, who helps people in a dispute to identify key issues and develop options and alternatives to reach an agreement, however, they may also have professional expertise in the subject matter in dispute and will generally provide advice about the issues and options for resolution.
• Conciliation is suitable when you want to reach an agreement on particular technical and legal issues.
• The participant’s lawyers can usually be present during conciliation, but this needs to be discussed with the conciliator before the process begins.

Arbitration
• Arbitration is a process where an arbitrator acts as an independent third party and makes a determination based on arguments and evidence presented by all parties. Arbitration is generally more formal and structured than other forms of ADR and is more similar to court because of the arbitrator’s binding decision.
• Arbitration is helpful if a decision was not reached through mediation or conciliation. The arbitrator’s final decision can be disputed in court, however, this can be difficult and may require you to point to particular problems with the decision.
• Lawyers are often involved in arbitration and may represent the participants during the procedure.