When two business partners, employees or business owners in New York can’t seem to agree on something, the disagreements can lead to drawn-out and expensive court battles. Alternative Dispute Resolution (ADR) methods provide a way for businesses to settle their disputes without going to court.
Mediation
This is one type of ADR where a neutral third party (the mediator) helps the two sides come to an agreement. Both sides present their side of the story to the mediator, who then meets with each side separately to try to find a solution that is acceptable to both businesses.
The mediator does not make any decisions – instead, they help the businesses come to their own agreement. This can be a good option if the businesses want to maintain their relationship and avoid going to court.
Arbitration
Arbitration is another way of resolving business disputes with the help of an arbitrator (neutral third party), who hears both sides of the story and then makes a decision. This decision is binding, which means that the businesses have to follow it.
Arbitration can be less expensive and quicker than going to court, but it’s important to make sure that both businesses agree to arbitration before going ahead with this process.
Negotiation
Negotiation is a process where the businesses themselves try to come to an agreement. This is often done with or without the help of lawyers.
If the businesses are able to negotiate and come to an agreement, they can avoid going to court altogether. However, if negotiation fails, then arbitration or mediation may be the next step.
Collaborative law
Collaborative law is a process where both businesses work together with their lawyers to try to come to an agreement. This method is often best when the businesses want to maintain a good relationship and avoid going to court.
If you’re a business owner in New York, it’s important to know about ADR and how it can help you resolve disputes without going to court. Remember that traditional litigation can be expensive and time-consuming, so ADR may be a good option for you.