What is Alternative Dispute Resolution (“ADR”)?

Alternative dispute resolution  is any process that allows the parties to resolve their dispute without going to court.

When is ADR required?

  • In Saskatchewan, litigants must pass through a mandatory mediation program before they are allowed to go to court. For the most part however, ADR is voluntary.

What are the types of ADR?

  • Negotiation: is the most common form of ADR and revolves around discussions aimed at settling a dispute.
  • Mediation: a neutral party (the “Mediator”) helps the parties reach an agreement.
  • Arbitration: a neutral third party (the “Arbitrator”) imposes a decision on the parties.

What are the advantages of Negotiation?

  • Quick, less complicated, and less expensive form of settlement.
  • Allows all parties to control the process and decide the outcome for themselves.
  • Helps the parties to remain on good terms with each other.
  • Since it is a private procedure, it can be used to avoid publicity.

What are the advantages of Mediation?

  • Allows the parties to control the process and the outcome.
  • Receive a neutral party’s comments on each side’s strengths and weaknesses with suggestions for possible solutions.
  • End result typically benefits both parties.

What are the advantages of Arbitration?

  • Faster and cheaper than going to trial.
  • Allows the parties to control the process by selecting their own Arbitrator.
  • Helps maintain an ongoing relationship between the parties.
  • It is confidential.
  • May occur anywhere in the world that is convenient for the parties.