ADR Meaning & Arbitration Mediation and Conciliation
Alternative Dispute Resolution - ADR
ADR – Alternative Dispute Resolution, It is a known fact that our courts are over-burdened with the pending cases and it is almost impossible to provide quick and efficient relief to the aggrieved parties. Therefore, to meet the situation, the Alternative Dispute Resolution (ADR) mechanism is used all over the world which is more effective, faster and less expensive.
Nowadays known fact that our courts are over-burdened with the pending cases and it is almost impossible to provide quick and efficient solution to the parties, to meet the situation and function more effective, faster and less expensive Alternative Dispute Resolution (ADR) procedure used for settling disputes by means other than litigation such as- Arbitration, Mediation, Conciliation. An ADR involves appointment of a third party to preside over a hearing between two parties and help these parties to settle their dispute out of the court, privately and without the interference of the Court.
Arbitration
Arbitration is an ADR (alternative dispute resolution) method where the disputing parties involved present their disagreement to at least one arbitrator or a panel of personal, independent and qualified third party “arbitrators.” The arbitrator(s) determine the result of the case. While it’s going to be less costly and more accessible than trial, the arbitration process has well-defined disadvantages. a number of disadvantages include the danger losing, formal or semi-formal rules of procedure and evidence, also because the potential loss of control over the choice after transfer by the parties of decision-making authority to the arbitrator. By employing arbitration, the parties lose their ability to participate directly within the process. additionally, parties in arbitration are confined by traditional legal remedies that don’t encompass creative, innovative, or forward-looking solutions to business disputes.
During arbitration, parties present cases during a similar manner as they might during a court case to the panel of arbitrators who were chosen by the parties themselves by mutual assent. While arbitration generally proceeds during a less formal manner than a court case, all sides feature a chance to supply evidence, call witnesses, and provides testimony, a bit like during a court case. Both parties generally are represented by arbitration lawyers who make sure that the case goes as smoothly as possible. Once all sides have presented their case, the arbitrators debate and rule. Outcomes handed down by arbitrators are binding—although in some cases they will be appealed.
Arbitration Meaning
Mediation
Mediation is one among the choice dispute resolutions. Mediation may be a process which is under the control of the parties. The mediator acts as a middle one that helps to return on a negotiated common point of their dispute. they’re trained professionals or sometimes attorneys who assist the parties at issue to satisfy at a standard place where they will discuss their issues and may attempt to negotiate to succeed in at a standard output. A mediator uses special quite conversation and communication to resolve the parties dispute.
Mediation is an off-the-cuff method of settling disputes, while it consists of basic rules or procedures. the choice of the mediation is non-binding upon the parties. If the disputed parties have agreed for the method of mediation then it’s not binding upon them to agree upon the proposed opinion of the Mediator. The mediator can suggest, give opinions and may tell what to try to or what not but he can’t force the parties to attend the mediation if they’re not interested to continue.
Mediation Meaning
Conciliation
Conciliation is one of the (ADR) alternative dispute resolutions, this method provides the disputing parties with an opportunity to explore options aided by an objective third party to exhaustively determine if a settlement is possible. Like arbitration, the Act covers both domestic and international disputes in the context of conciliation. International conciliation is confined only to disputes of commercial nature. As per the Act, the definition of international commercial conciliation is exactly similar to that of international commercial arbitration.
Accordingly, the Act defines international commercial conciliation as conciliation proceedings relating to a dispute between two or more parties where at least one of them is a foreign party.
The foreign party may be an individual who is foreign national, a company incorporated outside India, or the government of a foreign country.
