What is the difference between mediation and arbitration in small claims court?
Mediation and arbitration are two processes used to resolve disputes in small claims court. Mediation is a process in which a neutral third-party mediator works with both parties in a dispute to help them find a mutually agreeable solution. The mediator does not make a decision about which party is right; instead they provide a supportive and impartial environment in which the parties can communicate, evaluate their needs and interests, and craft a resolution. Arbitration is a process in which a neutral third-party arbitrator, or arbitrators in the case of a panel of arbitrators, reviews the evidence and testimony provided by the parties and makes a binding decision which is then enforceable by law. This decision is usually the final resolution of the dispute. The arbitration process is often less formal than a trial and can resolve disputes quickly and inexpensively. In Wisconsin, small claims court hearings are held before a judge, though in some cases mediation or arbitration is used instead. It is important to remember that mediation and arbitration are two different processes and should not be confused. Mediation is a voluntary process used to resolve a dispute while arbitration is a binding process in which a decision is made and enforced by a court.
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