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ALTERNATIVE DISPUTE RESOLUTION
The term "Alternative Dispute Resolution" is simply defined as a means of resolving disputes procedurally without initially resorting to the control of the judicial system. The two (2) most common vehicles used to attempt to resolve disputes without utilizing the more lengthy and costly process of litigation are...
- Arbitration: Through arbitration, parties submit their disputes for administration through an established entity, such as the American Arbitration Association, which serves as the administrator of the dispute resolution process. Alternatively, parties my undertake private arbitration, agreeing to be governed by the arbitration statutes of the State of Ohio. Effectively, an arbitration award is equivalent in all respects to a judgment rendered by a court of law.
- Mediation: Mediation is a non-binding, voluntary meeting of the parties conducted before an experienced mediator. Guided and governed by the mediator, disputes are subject to appropriate negotiations and discussions through the mediator's efforts. Should mediation prove unsuccessful, the arbitration process is oftentimes used as the dispute resolution process rather than by proceeding with litigation through the Courts.
The primary benefits of both arbitration and mediation are:
- Speed: Usually, an arbitration is concluded within a period of ninety (90) to one hundred fifty (150) days. Mediations can be scheduled and conducted as quickly as thirty (30) days.
- Expense: While the initial filing fees of the American Arbitration Association are higher than court filing fees costs, the overall savings in money and time is oftentimes significant in that there are limited pre-hearing meetings and significantly less pleadings and other paperwork required. It is our experience that the costs and attorneys fees involved in arbitrations compared to jury or bench trials oftentimes are one-half to two- thirds less than what would necessarily be expended by litigating through the court system.
- Experience of the Arbitrator: An appointment to serve as an arbitrator or mediator is a privilege and not a right. Accordingly, only very knowledgeable arbitrators and mediators are permitted to serve, bringing with them their experience and knowledge in order to best understand the relevant facts of each case and, in turn, respectively issue a well-reasoned award or move the parties toward meaningful and usually successful dispute negotiations and settlement. Conversely, many judges may have little (if any) level of knowledge as to particular business or real estate issues, particularly those involving sophisticated commercial dealings.
- Final and Conclusive Nature of Award: Almost every party who has been involved in litigation has heard the phrase "if I lose, I will take you up to the Supreme Court." With only minor and very rare exceptions, arbitrations are binding and conclusive and not subject to appeal.
- Confidentiality: Arbitration and mediation proceedings are confidential and, therefore, particularly sensitive matters are not subject to public scrutiny nor do they become public record.
We would be pleased to provide you further information in regards to arbitration and mediation. Likewise, you may contact the American Arbitration Association directly at 891-4741 (phone) or 891-4740 (fax) to obtain complimentary information as to arbitration, mediation and other forms of dispute resolution.
Joseph B. Jerome and Associates
55 Public Square
Suite 2020
Cleveland, Ohio 44113-1901
