What is an alternative dispute resolution?
Alternative Dispute Resolution (ADR) is an alternative to the traditional court system that can be used to settle a dispute outside of the courtroom. It is a voluntary process in which a neutral third-party mediator helps the parties involved in the dispute come to a resolution that is satisfactory to all involved. ADR focuses on the resolution of a dispute by working with the parties to come to an understanding that is mutually beneficial; it does not seek to determine who is “right” or “wrong”. In Texas, ADR, which includes arbitration, mediation and negotiation, is used to resolve disputes that arise in accident law. Arbitration is where an impartial third-party, known as an arbitrator, is assigned to the case and hears the argument of both parties. This decision is legally binding, so the outcome is permanent and cannot be reversed by a court. Mediation is focused on negotiation and communication between the parties involved. A mediator works to facilitate communication between both parties and seeks to find an amicable solution to the dispute. Lastly, negotiation is where both parties discuss the dispute and try to come to an agreement through compromise and agreement. In accident law, ADR can be a helpful way for parties to quickly and efficiently come to a resolution that is satisfactory to all involved. It is important to note that before any of these forms of ADR can be used, both parties must agree to the process and what is to occur during the resolution process.
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