Alternate Dispute Resolution
Discourage litigation. Persuade your neighbours to compromise whenever you can. Point out to them how the nominal winner is often a real loser— in fees and waster of time. As a peacemaker, the lawyer has a superior opportunity of being a good man. There will still be business enough.”- Abraham Lincoln…
The Disputes are unavoidable; be it in the business or personal life. It’s a part and parcel of any relationship or organisation. However, where there is a dispute there must also be a mechanism for resolution. Disputes can be resolved either through litigation i.e. in court of law or through Alternative Dispute Resolution (ADR) Mechanism.
Litigation is expensive, time consuming and complex process. ADR is a system whereby disputants resolve their disputes with minimum outside help. It has more room for a “win-win Situation’ in comparison to the litigation. The ADR procedure consists of four basic methods of dealing with disputes which are:
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Negotiation
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Mediation
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Conciliation
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Arbitration
Alternative dispute resolution is not new to India. The concept is analogous to the panchayat or similar bodies consisting of influential and elderly men from the community who were bestowed with power to manage of religious and social functions and who were called upon to decide the dispute between parties in the particular village, be it civil or criminal or revenue.
In India, ADR is governed by The Arbitration & Conciliation Act,1996 as amended in 2015. The Act contains general provisions on arbitration, enforcement of certain foreign awards, conciliation and supplementary provisions.
The thought for ADR should be with the parties to the transaction right from the beginning of it. A written clause in the contract to resolve the disputes, if any, through ADR is must. The clauses may specify the terms & conditions along-with the ADR methods to be adopted while adjudicating the disputes.
Even the courts are now-a-days promoting the ADR methods to settle the disputes between parties. The advantages of ADR are its less time consuming, less expensive and can be done without the involvement of lawyer. The process does not have too many procedural formalities like courts, thus saves time, money and efforts. The saved money, time and manpower can be used to betterment of the company. It will ease the contract management and whole transaction can be carried out more effectively.
Therefore, Instead of looking towards courts, move to Alternate Disputes Resolutions to resolve any type of dispute in your professional or private life. ADR not only gives you fast & better remedy but also improves inter-personal relations amongst people… So opt for Alternate Dispute Resolution.
Like any other system ADR too comes with its positive and negative sides, based on the situation and nature of the dispute one has to choose the right path. There is well written artile published on Harvard Business Review (HBR) written by Todd B. Carver and Albert A. Vondra I suggest you to go through these before making a decision.
Whether personal or corporate legal matters complicates and it drains you mentally financially for long time. And also its a waste of your energy and time, either way outcome may not be much different . I personally feel ADR is the best way to go and resolve your difference without much hassles.
The Author Deepa Rafeeque is a Legal expert, Corporate legal trainer and public speaker who believes in sharing of knowledge to increase the legal awareness among women, entrepreneurs and startups. Deepa is the co-founder of VLegal a legal consultancy providing solutions and imparting training for corporate on legal areas. Deepa conducts many training and workshops to help entrepreneurs and Women on various aspect on Sexual harassment, setting up Start-ups and educate your employees. You could reach Deepa for legal guidance, see her complete profile click here
Deepa Rafeeque Corporate Legal Trainer
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