The purpose of this article is to first define the various dispute resolution mechanisms, then to share some thoughts as to which path to follow, given the circumstances of the particular conflict in which you may be placed.
From time to time, every business owner involved in the service industry will find themselves in conflict with customers, suppliers, subcontractors or employees. We live in a litigious society and, right or wrong, access to courts and the litigation process is easily available to litigants whether they have a meritorious claim or not. Because of the increasing numbers of disputes filed with our court systems, many forms of alternative dispute resolution have been introduced to lighten the burden in the civil courts and to theoretically streamline the dispute resolution process. The purpose of this article is to first define the various dispute resolution mechanisms, then to share some thoughts as to which path to follow, given the circumstances of the particular conflict in which you may be placed.
Because many state and federal jurisdictions are heavily burdened with high volumes of caseloads, the "wheels of justice" move very slowly and it can take years for disputes to be resolved or tried. Additionally, because of the pretrial procedures allowed in the civil courts, the legal expenses involved in civil litigation are extremely hard to budget. Contrary to popular belief (and perhaps common sense), the legal expenses involved in civil litigation are usually the responsibility of the individual parties and, with few exceptions, are not awarded in favor of either party to the litigation, even upon the successful prosecution or defense of a claim.