1. Settling Disputes
Chapter 4
Law Related

2. Methods for Solving Disputes

3. Negotiation
The process by which people involved in a dispute discuss their problem and try to reach a solution acceptable to all
The informality of negotiation makes it ideal for many types of problems. Sometimes people hire attorneys to negotiate for them

4. Settlement An agreement, before the case goes to trial.
A large number of civil cases are settled this way, saving both time and money.

5. Arbitration
A way of settling a dispute without going to trial. The parties who disagree select one or more impartial persons to settle the argument. If the arbitration is binding, then all parties must accept the decision
Nonbinding arbitration

6. Mediation
The act or process of resolving a dispute between two or more parties
Takes place when a third person helps the disputing parties talk about their problem and settle their differences. Unlike arbitrators, mediators cannot impose a decision on the parties
Come up with a reasonable settlement to the problem

7. Steps in a Typical Mediation Session
Step 1. Introduction
The mediator helps the people involved in the dispute feel at ease and explains the ground rules for behavior during the mediation. Such rules can include agreeing to remain seated and agreeing that any party may request a break during the mediation.

8. Step 2. Telling the Story
Each person tells what happened. The person who brings up the problem usually tells his or her side of the story first. No interruptions are allowed. Then the other person explains his or her side. These people are the disputants.

9. Step 3: Identifying Positions & Interests
The mediator tries to make certain that each disputant is clearly understood by listening carefully to each side, summarizing each person's view, and asking questions. Sometimes the mediator will encourage the disputants to ask questions and summarize each other’s point of view in order to check for understanding.

10. Step 4. Identifying Alternative Solutions
The disputants think of possible solutions to the problem. The mediator makes a list and then asks each disputant to explain his or her feelings about each possible solution. Sometimes in a difficult situation, the mediator might also meet with each disputant separately to discuss his or her concerns.

11. Step 5. Revising and Discussing Solutions
Based on the feelings of the disputants involved, the mediator may help the disputants change some of the possible solutions and identify a better solution to which the disputants can agree.

12. Step 6. Reaching an Agreement
The mediator helps the disputants reach an agreement that both can accept. The agreement is written down. The disputants also discuss what will happen if they find out the agreement is not working for them.

13. Ombudsperson
A person who has the power to investigate reported complaints and help achieve fair settlements
Government agencies, newspapers, and some universities have ombudspersons, people who have the power to investigate complaints and then help the
parties reach some agreement

14. Problem p. 42
Examine the following situations and decide the best method for solving each problem. Consider informal discussion, negotiation, arbitration, mediation, going to court (including small claims court), seeking help from a government agency, and other methods. Explain your answers

15. This situation might best be handled by an informal discussion between the sisters. If this fails, they may opt for a more formal negotiation or mediation by someone who knows and cares for both of them, such as a parent or other relative. Since open communication is an essential element of healthy family relations, it might prove detrimental to involve an outside third party or a formal legal mechanism.
A. Two sisters share a room. However, they disagree over how the room should be arranged and decorated.

16. This situation might best be handled with help from an outside agency or small claims court. Before going to an outside agency, the consumer should first speak directly to the store’s owner or to the salesperson’s supervisor. If this is unsuccessful, locate a consumer protection agency, such as the state attorney general’s office, that can help negotiate or mediate the dispute. If this assistance is not available, you may choose to go to small claims court. Some courts have arbitration programs for cases involving less than a certain amount of money.
B. A new plasma television breaks after two weeks, and the salesperson refuses to fix it.

17. C. A landlord will not make needed repairs because he believes the tenant caused the damage.
Through informal discussion or negotiation. If this is unsuccessful, the next logical approach would be to request that a housing inspector investigate. If this does not resolve the dispute, they might consider asking a housing mediator to help them, if one is available in their community. The landlord or tenant could also go to court or to a landlord/tenant commission.

18. Often resolved through negotiations between the two sides
Often resolved through negotiations between the two sides. In some labor disputes, where workers are in union, the union and management will agree beforehand to submit disagreements to binding arbitration. Mediation and litigation are also sometimes used to help solve such disputes.
D. A fast food restaurant and an employee disagree over the wages and conditions of employment.

19. Through informal discussion
Through informal discussion. The IRS has established dispute resolution procedures. If these do not prove satisfactory, you may wish to hire an attorney. However, unless you qualify for legal aid, the attorney’s fees might be more than the $2000 in question. The most practical approach may be to simply pay the disputed amount.
E. The Internal Revenue Service sends you a letter claiming that you owe another $2,000 in taxes. You disagree. (Duh!)