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1
1) Why do we need ADR?
There are a number of problems in using the courts,
i.e. litigation is:
 1) Expensive and slow

 2) Many disputes are of a highly technical nature

                         3) Intimidating

                         4) Adversarial
 5) Solutions are imposed
 6) It usually leads to a loss of good relations between the
 parties
 7) Public

 8) There is insufficient capacity              2
2) ADR

What are five main types of ADR?

 1) Negotiation

    2) Mediation

        3) Conciliation

             4) Arbitration

                   5) Tribunals
                                  3
3) Negotiation
What is negotiation?
Negotiation is defined as an informal
method of bargaining by the parties to
settle a dispute
                                    We’re just
                                    negotiating




It involves the parties communicating with each
other, sometimes with solicitors

                                       4
3) Negotiation (cont)

What are the advantages of negotiation?
         Quick

             Cheap

                 Private

What are the disadvantages of negotiation?

 Costs increase if solicitors become involved

 No guarantee it will be successful 5
4) Mediation
What is mediation?
Mediation is defined as a process by which a
neutral third party tries to get those involved
in a dispute to reach a compromise solution
  However, the parties are in control
  The mediator is merely a neutral facilitator, or
  a go-between, i.e. helping the parties to reach
  a compromise
                      Ok you
                      guys, I’ve
                      facilitated
                      shake on it


                                         6
4) Mediation (cont)
What is the procedure for mediation?

 a/ There is an initial meeting

 b/ Followed by private meetings, when the
 mediator will explore the position with each
 party in turn carrying offers to and fro

 c/ Finally a second meeting helps the parties
 negotiate face to face.

 If the mediation results in a written agreement
 it can form a legally binding contract
                                    7
4) Mediation (cont)
What are the consequences of refusing to
participate in ADR?

An unreasonable refusal to cooperate with ADR
can be penalised
Authority

Dunnett v Railtrack (2002)

McMillan Williams v Range (2004)
                                   8
4) Mediation (cont)

Identify different types of mediation

  1) Family mediation

    2) Commercial mediation services e.g. CEDR

       3) Smaller disputes
                 e.g. West Kent Mediation Service

            4) Online dispute resolution (ODR)

               5) Mediation services for victims of
               medical negligence
                                       9
4) Mediation (cont)
What are the advantages of mediation?
  1) Confidential
  2) Less formal than the courts
  3) Legal representation is not required
  4) Cost-effective
  5) The parties are in control
What are the disadvantages of mediation?
  1) The dispute may not be resolved
  2) The mediator sometimes overstep the mark –
  research by Hazel Genn              10
ADR part 2
             11
Conciliation
 Definition
 In conciliation, the neutral third party takes an
 interventionist role in the discussions between the
 parties in order to push them in the direction of
 a settlement
                         Compromise
                         or else



                                            ACAS


It is particularly appropriate for major commercial
disputes                                  12
Arbitration

Arbitration is a procedure where the parties to a
dispute, voluntarily agree to submit their claims
to an independent third party (an arbitrator), as a
way of resolving a dispute, without the need for
a court case.
                          Please settle
                         our dispute




                                         13
Arbitration (cont)

1) The law relating to arbitration is set out in the
Arbitration Act 1996

2) S 58 Arbitration Act 1996 states that the decision
by the independent third party is legally binding

3) The decision to arbitrate can be made:

   a/ Before the dispute arises

     b/ After the dispute has arisen


                                       14
Arbitration (cont)
a/ Before the dispute arises
The agreement to arbitrate in the event of a dispute
arises
               Where’s
               the hotel   a/ Travel agents
               then

                                  This was my
                                  best frock, I’m
                                  going to
                                  arbitrate




       b/ Dry cleaners

                                           15
Arbitration (cont)

  4) The arbitrator

S 15 of the Arbitration Act 1996 details how the
arbitrator can be chosen

  5) The arbitration hearing

    ● The   exact procedure is left to the parties
    ●   Paper hearing
    ● Paper   & oral submission
    ● Flexibility   as to date, time & place of the hearing
                                            16
Arbitration (cont)

6) The award
The decision made by the arbitrator is binding




                                    17
Arbitration (cont)
7) Evaluating arbitration

Advantages

   a/ Flexibility

       b/ Expertise

         c/ Privacy

              d/ Speed

                    e/ The award
                                   18
Arbitration (cont)

Disadvantages

 a/ Legal funding is not available

   b/ An unexpected legal point

      c/ Cost

           d/ Appeals

                e/ Delays


                                     19
Tribunals
1) What is a tribunal?

A tribunal is a body that performs a function similar
to that of a court of law, but it is not a court of law

2) When are tribunals used?

Where a tribunal exists it must be used, the parties
cannot use the courts

3) How many tribunals are there?
 Approx 75                              20
Tribunals (cont)
4) The types of tribunals

 a/ Domestic
    Deal with matters relating to the internal
    workings of particular organisations

                I’ve found my
                mobile, nurse    For example:
                                The BMA,
                                The Law Society &
                                The Bar Council
                                       21
Tribunals (cont)

b/ Administrative tribunals

Their main function is to resolve disputes between
individuals and government departments concerning
the individual’s social & welfare rights

For example:
The Immigration Appeals Authority
Industrial Tribunal
Rent tribunals
Social Security Tribunals             22
Tribunals (cont)

5) The composition of tribunals

a/ An independent (legally qualified) chairman

b/ Two lay members of the public with relevant
expertise




                                      23
Tribunals (cont)

6) The procedure

a/ Legal representation is not encouraged

   b/ Legal aid is generally not available

     There are exceptions:
             Mental Health Review Tribunals
             Land Tribunals
             Employment tribunals

                                     24
Tribunals (cont)

 6) The procedure

c/ Inquisitorial process

   d/ Not bound by previous decisions

 7) How are tribunals controlled?

    i. The Council of Tribunals
    ii. The courts
      Appeals
       Judicial review              25
Tribunals (cont)
8) Evaluation
Advantages

  a/ Cheaper option than the courts

  b/ Claims are processed more quickly

  C/ Informal     This is variable

  d/ Expertise

  e/ Capacity
  f/ Privacy     Exception employment tribunals
                                    26
Tribunals (cont)
8) Evaluation (cont)

Disadvantages
  a/ A lack of openness      Suspicions about fairness
  b/ Lack of independence

  c/ Legal aid
  d/ Not really accessible
  e/ Lack of coherence

 f/ Some tribunals do not have to give reasons for
 their decisions
                                       27
Tribunals (cont)
8) Evaluation (cont)

Disadvantages (cont)

 g/ Rarely follow precedent

 h/ No right of appeal from some tribunals




                                   28

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ADR

  • 1. 1
  • 2. 1) Why do we need ADR? There are a number of problems in using the courts, i.e. litigation is: 1) Expensive and slow 2) Many disputes are of a highly technical nature 3) Intimidating 4) Adversarial 5) Solutions are imposed 6) It usually leads to a loss of good relations between the parties 7) Public 8) There is insufficient capacity 2
  • 3. 2) ADR What are five main types of ADR? 1) Negotiation 2) Mediation 3) Conciliation 4) Arbitration 5) Tribunals 3
  • 4. 3) Negotiation What is negotiation? Negotiation is defined as an informal method of bargaining by the parties to settle a dispute We’re just negotiating It involves the parties communicating with each other, sometimes with solicitors 4
  • 5. 3) Negotiation (cont) What are the advantages of negotiation? Quick Cheap Private What are the disadvantages of negotiation? Costs increase if solicitors become involved No guarantee it will be successful 5
  • 6. 4) Mediation What is mediation? Mediation is defined as a process by which a neutral third party tries to get those involved in a dispute to reach a compromise solution However, the parties are in control The mediator is merely a neutral facilitator, or a go-between, i.e. helping the parties to reach a compromise Ok you guys, I’ve facilitated shake on it 6
  • 7. 4) Mediation (cont) What is the procedure for mediation? a/ There is an initial meeting b/ Followed by private meetings, when the mediator will explore the position with each party in turn carrying offers to and fro c/ Finally a second meeting helps the parties negotiate face to face. If the mediation results in a written agreement it can form a legally binding contract 7
  • 8. 4) Mediation (cont) What are the consequences of refusing to participate in ADR? An unreasonable refusal to cooperate with ADR can be penalised Authority Dunnett v Railtrack (2002) McMillan Williams v Range (2004) 8
  • 9. 4) Mediation (cont) Identify different types of mediation 1) Family mediation 2) Commercial mediation services e.g. CEDR 3) Smaller disputes e.g. West Kent Mediation Service 4) Online dispute resolution (ODR) 5) Mediation services for victims of medical negligence 9
  • 10. 4) Mediation (cont) What are the advantages of mediation? 1) Confidential 2) Less formal than the courts 3) Legal representation is not required 4) Cost-effective 5) The parties are in control What are the disadvantages of mediation? 1) The dispute may not be resolved 2) The mediator sometimes overstep the mark – research by Hazel Genn 10
  • 12. Conciliation Definition In conciliation, the neutral third party takes an interventionist role in the discussions between the parties in order to push them in the direction of a settlement Compromise or else ACAS It is particularly appropriate for major commercial disputes 12
  • 13. Arbitration Arbitration is a procedure where the parties to a dispute, voluntarily agree to submit their claims to an independent third party (an arbitrator), as a way of resolving a dispute, without the need for a court case.   Please settle our dispute 13
  • 14. Arbitration (cont) 1) The law relating to arbitration is set out in the Arbitration Act 1996 2) S 58 Arbitration Act 1996 states that the decision by the independent third party is legally binding 3) The decision to arbitrate can be made: a/ Before the dispute arises b/ After the dispute has arisen 14
  • 15. Arbitration (cont) a/ Before the dispute arises The agreement to arbitrate in the event of a dispute arises Where’s the hotel a/ Travel agents then This was my best frock, I’m going to arbitrate b/ Dry cleaners 15
  • 16. Arbitration (cont) 4) The arbitrator S 15 of the Arbitration Act 1996 details how the arbitrator can be chosen 5) The arbitration hearing ● The exact procedure is left to the parties ● Paper hearing ● Paper & oral submission ● Flexibility as to date, time & place of the hearing 16
  • 17. Arbitration (cont) 6) The award The decision made by the arbitrator is binding 17
  • 18. Arbitration (cont) 7) Evaluating arbitration Advantages a/ Flexibility b/ Expertise c/ Privacy d/ Speed e/ The award 18
  • 19. Arbitration (cont) Disadvantages a/ Legal funding is not available b/ An unexpected legal point c/ Cost d/ Appeals e/ Delays 19
  • 20. Tribunals 1) What is a tribunal? A tribunal is a body that performs a function similar to that of a court of law, but it is not a court of law 2) When are tribunals used? Where a tribunal exists it must be used, the parties cannot use the courts 3) How many tribunals are there? Approx 75 20
  • 21. Tribunals (cont) 4) The types of tribunals a/ Domestic Deal with matters relating to the internal workings of particular organisations I’ve found my mobile, nurse For example: The BMA, The Law Society & The Bar Council 21
  • 22. Tribunals (cont) b/ Administrative tribunals Their main function is to resolve disputes between individuals and government departments concerning the individual’s social & welfare rights For example: The Immigration Appeals Authority Industrial Tribunal Rent tribunals Social Security Tribunals 22
  • 23. Tribunals (cont) 5) The composition of tribunals a/ An independent (legally qualified) chairman b/ Two lay members of the public with relevant expertise 23
  • 24. Tribunals (cont) 6) The procedure a/ Legal representation is not encouraged b/ Legal aid is generally not available There are exceptions: Mental Health Review Tribunals Land Tribunals Employment tribunals 24
  • 25. Tribunals (cont) 6) The procedure c/ Inquisitorial process d/ Not bound by previous decisions 7) How are tribunals controlled? i. The Council of Tribunals ii. The courts Appeals Judicial review 25
  • 26. Tribunals (cont) 8) Evaluation Advantages a/ Cheaper option than the courts b/ Claims are processed more quickly C/ Informal This is variable d/ Expertise e/ Capacity f/ Privacy Exception employment tribunals 26
  • 27. Tribunals (cont) 8) Evaluation (cont) Disadvantages a/ A lack of openness Suspicions about fairness b/ Lack of independence c/ Legal aid d/ Not really accessible e/ Lack of coherence f/ Some tribunals do not have to give reasons for their decisions 27
  • 28. Tribunals (cont) 8) Evaluation (cont) Disadvantages (cont) g/ Rarely follow precedent h/ No right of appeal from some tribunals 28