What are the differences between arbitration and mediation?
When it comes to Alternative Dispute Resolution Law in Arizona, there are two main processes: arbitration and mediation. Although related, these two processes have some important distinctions. Arbitration is a way of resolving disputes through the use of a neutral third-party arbitrator. During arbitration, each party has a chance to present their case and the arbitrator will ultimately decide the outcome of the case based on the facts presented. The decision reached by the arbitrator is binding and can be enforced in a court of law. Mediation, on the other hand, is a process in which parties engage in a facilitated negotiation with the help of a trained mediator. The mediator is neutral and does not take sides. Rather, they help the parties reach a mutually beneficial agreement. The mediator cannot force the parties to come to an agreement, rather, it is up to the parties to decide how they want to resolve their dispute. This makes mediation a voluntary process and a successful outcome is not guaranteed. Therefore, the primary difference between arbitration and mediation is that arbitration involves a third-party making a decision while mediation is a facilitated negotiation process between the parties. Another distinction is that the outcome of arbitration is enforceable while the outcome of mediation is not legally binding.
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