How does mediation differ from arbitration?
Mediation and arbitration are both ways to resolve disputes without going to court, but there are some key differences between the two. Mediation is a form of alternative dispute resolution (ADR) where a neutral third-party mediator helps the two parties come to an agreement. The mediator does not decide the outcome of the dispute, but instead facilitates negotiations and encourages both parties to compromise so they can reach an agreement. Mediation is generally a less formal and more flexible process than arbitration, making it the preferred option for many people in Texas. Arbitration, on the other hand, is a legal process that requires both parties to present evidence to a neutral third-party arbitrator. This arbitrator is responsible for making a decision on the dispute and is legally binding. Unlike mediation, both parties are required to follow the outcome of the arbitration. In summary, mediation is a voluntary process that involves an impartial mediator helping both parties come to an agreement. Arbitration, on the other hand, is a more formal process that involves an arbitrator making a legally binding decision on the dispute. Both mediation and arbitration can be effective ways to resolve disputes without going to court, but it is important to understand the differences between the two.
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