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Alternative Dispute Resolution Is Another Informal Way

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Alternative Dispute Resolution Is Another Informal Way

  • By
  • Feb. 2009
  • 1030 Words
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Nowadays the legal process through the courts is consider costly in terms of money and time. Alternative dispute resolution (ADR) is another informal way of settling dispute for civil cases. ADR covers forum for the settlement of disputes by way of arbitration, tribunal, mediation and conciliation which emphasise settlement by agreement, instead of adjudication. Arbitration is the first and oldest form of dispute resolution. Arbitration generally is a method where an independent and neutral third party which known as arbitrator, either by one arbitrator or a panel constituted by three arbitrators, who is or are well knowledgeable in particular field. Arbitration depends on the field that the cases are base on, is referred for a final and binding decision based on the evidence and arguments presented before the arbitration tribunal. Arbitrator will make an “award” and giving the reasons for doing so. The courts will not intervene in the arbitrator’s decision but they do maintain the supervisory role where all arbitration proceedings are free to challenge by Judicial Review. (Collins, 1997)

The previous Arbitration Acts have been replaced by the Arbitration Act 1996 which provides a new approach to be a proper alternative to litigation. The advantages of arbitration are often said to be speed, cost and lack of formality. They also include binding decision which can be enforced by the court with the minimum of publicity and the absence of a binding precedent for similar cases. Arbitration is a private procedure, therefore outsiders such as the public and journalist are not able to obtain access to any sensitive information. This definitely helps to protect commercial secret or intellectual properties from outsiders or rivals. Arbitration is most often used in landlord and tenant dispute, commercial and shipping claims. (Slapper & Kelly, 2006)

Another form of ADR is tribunal. Tribunal is established by the Act of Parliament in the manner of a court to hear...

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