14 Nov 2024 | 10 min read • Litigation & Dispute Resolution

Alternative Dispute Resolution: Mediation and Arbitration Explained

This article explores mediation and arbitration as efficient alternatives to traditional court litigation, highlighting their benefits, processes, and key considerations.

Newton Kariuki Kamwana

Partner

Alternative dispute resolution (ADR) methods, including mediation and arbitration, offer more efficient and flexible solutions than traditional litigation.

This article starts with mediation, a voluntary process where a neutral third party helps disputing parties negotiate a mutually agreeable solution. Mediation is often less adversarial, allowing parties to maintain relationships while resolving their issues. It covers key aspects of mediation, such as confidentiality, voluntary participation, and the mediator’s role.

Arbitration, on the other hand, is more formal and involves a neutral arbitrator or panel who hears arguments and evidence before making a binding decision. The article explains different types of arbitration, including binding, non-binding, and expedited, emphasizing their suitability for different types of cases. Both methods are lauded for saving time, reducing costs, and providing more privacy than court proceedings.

However, the article also highlights limitations, such as enforceability and appeal options, concluding that ADR is most effective when both parties commit to cooperative resolution.