Case Summary: Adam vs. Circuit City

Topics: Dispute resolution, Alternative dispute resolution, Contract, Arbitration, Mediation / Pages: 2 (269 words) / Published: Jul 8th, 2013
To: Dr. Spencer
From: Ramonica Marshall
Date: June 10, 2013
Subject: Adam vs. Circuit City Dispute

The main issue in this dispute is does the FAA apply to the employment agreement that Adam signed upon hire? The rule is that FAA governs in this case. Arbitration agreements should be a part of contracts and should be enforceable according to FAA. Since Adam signed a contract with Circuit City that contained an arbitration clause, the analysis is that the FAA states that a signed contract containing an arbitration clause is valid and enforceable. The conclusion of this case is that the FAA does apply to employers as well as employees. For Employers the benefit is privacy and for the employee the benefit is cost. Court litigations can be costly and Alternative Dispute Resolutions is the best way to go. Solving disputes through the traditional court system is timely and costly. ADR allows a faster and less expensive resolution. The down side to ADR is that it doesn’t allow a legal advisor to dig deep into evidence. There are several types of ADR methods that are available to pursue. The most commonly known are negotiation, mediation, and arbitration which is the most commonly used. The best and most appropriate ADR method, in this case, is mediation. Mediation is the best way to resolve the dispute between Adam and Circuit City. This method is the best way for Circuit City because it allows both parties to settle out of court and avoid negative publicity.

References Retrieved from
Video Lecture, “Alternative Dispute Resolution” Retrieved from

References: Retrieved from Video Lecture, “Alternative Dispute Resolution”  Retrieved from

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