lternatives to litigation save time and money, but they do not always result in a final resolution of the conflict. The desirability of these options should be assessed early in order for them to be implemented on schedule.
When it comes to resolving a conflict, there are two typical alternatives to filing a lawsuit: mediation and arbitration.
Settlement: It is typically prudent to consider the possibility of an out-of-court settlement at the commencement of any lawsuit case. In fact, most cases are settled before they go to trial. Settlement can be addressed by any party at any stage during the litigation process, and it is frequently a more cost-effective option than going to trial.
Generally, the court does not oblige the parties to negotiate or try to settle a case, but most courts have mechanisms in place through which a party can request the court’s aid in coming to an agreement.
Although the parties may be able to come to an agreement without the assistance of a third party, it is typical to include an objective third party known as a “mediator.” The mediator’s role is to assist the parties in coming to an agreement.
The mediator is chosen by the parties, and he or she meets individually with each party to analyze the strength or fragility of each side’s case. The mediator assists the parties in identifying the case’s risks and encourages them to analyze how those risks may influence their goals. The mediator does not possess the authority to force the sides to reach an agreement.
This is an adversarial action in which the adversaries choose a neutral party, known as an “arbitrator,” to decide their disagreement. The parties submit evidence and defend their case to the arbitrator, who ultimately chooses which party wins.
The procedure is shorter and not as formal as a trial. Arbitration is frequently the result of a private agreement, but many courts sometimes force parties in minor disputes to choose arbitration as an alternative to trial. Parties that agree to end their disagreement through binding arbitration are typically unable to challenge the arbitrator’s decision in a court.
A successful outcome in litigation is almost usually the consequence of collaboration. By working together, clients and legal counsel can adopt a litigation strategy that best meets the clients’ risk tolerance and overall business objectives.
Clients participate by giving business skills and factual knowledge. Meanwhile, Stone & Sallus legal advice provides insight on the legal concerns, the trial process, the client’s resolution alternatives, and the possible risks and rewards of each option.