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Disputes happen, whether it’s a contract issue, a trust/estate dispute, or a disagreement over a business or property. When they do, it’s important to know your options. There are three main ways to resolve a dispute: litigation, mediation, and arbitration.
Each approach has its strengths. The right one for you depends on the nature of the dispute, the people involved, and what you’re hoping to achieve.
Litigation is the formal court process. A judge hears both sides and makes a legally binding decision.
Why choose litigation?
· You need a binding, enforceable outcome.
· The other party isn’t engaging constructively.
· You want the option to appeal.
· The dispute involves legal precedent or public interest.
Things to consider:
· It’s often the most expensive and time-consuming option.
· Court hearings are public, so details become part of the record.
· It can strain relationships, sometimes beyond repair.
Litigation can be the right path when other options aren’t working, or when a court order is needed to move things forward.
Mediation is a voluntary, confidential process. An independent mediator helps both sides talk things through and reach their own agreement. Mediators don’t make a decision; they guide the conversation.
Why choose mediation?
· It’s usually quicker and more cost-effective than going to court.
· It’s private, what’s said in mediation stays in mediation.
· You stay in control of the outcome.
· It can help preserve business or personal relationships.
· Outcomes can be explored by parties that may not be available for a court to order.
Things to consider:
· The outcome isn’t binding unless everyone agrees in writing.
· It relies on both parties being willing to compromise.
· You can’t force anyone to mediate. If one side won’t engage, it may not resolve the issue.
Mediation works well when there’s a willingness to talk and a shared interest in finding a practical solution.
We advocate that, given the cost of litigation and the pragmatic and timely solutions mediation can produce, mediation should always be part of the initial discussion when considering how to resolve any dispute.
Arbitration sits somewhere between litigation and mediation. It’s a private process where an independent arbitrator hears both sides and makes a binding decision. It’s less formal than court, but more structured than mediation.
Why choose arbitration?
· You want a binding decision without going to court.
· You value confidentiality.
· You need someone with industry-specific expertise.
· You’re looking for a faster resolution than litigation.
Things to consider:
· It can still be costly, depending on the complexity.
· Appeal rights are limited; the arbitrator’s decision is usually final.
· It’s not as flexible or collaborative as mediation.
· Agreement to arbitrate needs to either be given by both parties or be in a preexisting agreement.
Arbitration is often used in commercial disputes where privacy and expertise are key.
There’s no one-size-fits-all answer. Mediation is often best when preserving relationships matters. Arbitration suits situations where you want a binding decision but prefer to stay out of court. Litigation may be necessary when other options aren’t viable, or when a legal ruling is essential.
At Treadwell Gordon, we help clients weigh their options and choose the path that best protects their interests. We’ll explain the pros and cons in plain language, and guide you through the process, whether that’s a quiet conversation, a private hearing, or a day in court.
