Litigation can be an unpredictable, downright volatile process. Individuals and business leaders embroiled in litigation never know what the other party might claim in court. They might also struggle to accurately predict how a judge may respond to the lawsuit.
Litigation can have surprising and negative consequences for both plaintiffs and defendants. Sometimes, neither party is happy with the final ruling entered by the judge who hears the case. Attending alternative dispute resolution sessions, such as mediation or arbitration, could limit the likelihood of a profoundly negative litigation outcome.
Compromise is critical to settling out of court
The entirety of the mediation process focuses on working together to resolve disagreements. Both parties may need to make concessions to reach a settlement during mediation. It is therefore possible for both parties to avoid the absolute worst possible outcomes.
Arbitration can be slightly different. The arbitrator hearing the case makes a determination based on the information presented by the parties. However, arbitration does not necessarily need to be a binding process.
Some people treat the determination made in arbitration as a starting point for negotiations, as it may be relatively close to how a judge might rule should the matter go to court. They can then settle the dispute outside of court while retaining control over the final terms set.
Alternative dispute resolution empowers people to resolve disputes quickly and privately. It also helps them retain control. When conflicts end up in civil court, neither party has control over the final ruling. Suggesting alternative dispute resolution can be beneficial for those considering litigation but hoping to resolve a matter outside of court.