How does mediation differ from arbitration?

Mediation and arbitration are both forms of alternative dispute resolution (ADR) used to settle disputes outside of the courtroom. In both processes, an impartial third party (either a mediator or an arbitrator) facilitates communication between the parties to try to reach a resolution. However, the differences between mediation and arbitration are significant. One of the primary differences between mediation and arbitration is that in arbitration, the arbitrator’s decision is legally binding and can be enforced by the court. The parties are usually bound by the arbitrator’s decision and cannot challenge it further. However, in mediation, the resolution is not legally binding, so if the parties don’t agree to the terms, they can still pursue a court case. Additionally, arbitration is a more formal legal process, where both parties present evidence and the arbitrator reviews it and makes a decision. Mediation is a less formal process and is usually more focused on communication and negotiation. The mediator works to facilitate communication and help the parties find common ground, but the parties themselves are responsible for coming to an agreement. The mediator’s role is to provide guidance, not make a ruling. Finally, the process of arbitration is often faster and more cost-effective than going through a court case. With mediation, the process usually takes longer because it relies on the parties’ willingness to negotiate and compromise. In conclusion, mediation and arbitration are both forms of alternative dispute resolution, but they are very different processes. The major differences between them are the binding nature of the decision, the formality of the process, and the time and money involved.

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How does mediation differ from arbitration?

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