Settling Disputes

Disadvantages to the Courtroom n There are three main disadvantages in going to court. –1. Court process is time consuming –2. Court process is expensive –3. Often causes extreme anger and feelings of bitterness

Methods For Solving Disputes n Negotiation n Mediation n Arbitration

Negotiation n People involved in a dispute discuss their problem and try to reach a solution acceptable to all n Three Phases: –preparation for negotiation –negotiation itself –post-negotiation

Negotiation Cont. n During the three phases: –1. conflict identified clearly –1. separate demands from what you really want –2. work to find solutions (compromise) –3. discuss again if problem is not worked out n Very informal, try to reach a settlement, or agreement, before it goes to trial

Mediation n Third person helps the disputing parties talk about their problem and settle their differences. n Mediators cannot impose a decision n Mediation is voluntary and non-binding

Arbitration n Both parties to a dispute agree to have one or more persons listen to their arguments and make a decision for them. n Arbitrator - like judges, not as powerful –have authority to make the final decision n Common in contract and labor- management disputes and international law cases