What is the difference between mediation and arbitration?
Mediation and arbitration are both alternative dispute resolution (ADR) techniques that are often used to settle disputes outside of the courtroom. Though they have similarities, they are not the same. Mediation is a type of negotiation in which an impartial third party (a mediator) assists two or more parties in resolving their dispute. The mediator does not make a decision but instead facilitates communication and negotiation between the parties in order to reach a mutually acceptable settlement. The mediator is there to ensure that all the parties involved in the dispute are heard and have the opportunity to compromise and reach a resolution. Arbitration, on the other hand, is a much more formal ADR process. An impartial third party (an arbitrator) listens to the arguments of both sides of a dispute and then makes a decision based on the evidence and facts of the case. This decision is binding and it cannot be modified or appealed. The arbitrator’s decision is legally enforceable and can be used in court if necessary. In Florida, arbitration law allows for arbitrators to be certified by the American Arbitration Association to act as arbitrators. Overall, the main difference between mediation and arbitration is that in mediation the parties are in control of the outcome and can come to a resolution if they are willing to compromise, while in arbitration, a third party makes a decision that is legally binding.
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