What is the cost of using alternative dispute resolution?
The cost of using alternative dispute resolution (ADR) can vary depending on the situation and the specific ADR method chosen. In Arizona, ADR is usually less expensive, faster, and less stressful than going to trial in a court of law. There are costs associated with ADR, such as those for filing and administrative fees, fees for the neutral third-party mediator or arbitrator, and expenses for any experts who may be retained to provide opinions or testimony. Filing fees vary depending on the court, and generally range from $100 to $200. Administrative fees are also usually required when a case is referred to an ADR program, and these fees can range from $50 to $150. If an attorney is involved in a dispute, the parties will likely be responsible for attorney fees as well. The cost of the mediator or arbitrator employed to help the parties resolve the dispute is usually split between the parties. The amount varies depending on the significance of the dispute and the amount of time needed to mediate or arbitrate. Generally, the hourly rate for a mediator is between $100 and $300 per hour, and the hourly rate for an arbitrator is between $125 and $350 per hour. Finally, parties may also have to pay fees and costs for any experts retained in the case, although this is generally not required in all disputes. The cost of an expert witness is generally determined on a case-by-case basis and depends on the complexity of the case and the experience of the witness. Overall, alternative dispute resolution can be a more cost-effective solution than going to trial in court. The costs associated with ADR can be significant, but they can also be much lower than the cost of a trial or other formal proceedings.
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