How the Different Processes Work

By Victoria Starr | November 2009

How it Happens Who is Involved How does the

process work

 Outcome
Negotiation By agreement

By contract

 2 parties communicate with each other and make decisions 2 parties determine the process Contract is final and binding
Mediation By agreement

By contract

 Third party neutral acts as communicator and facilitator as parties make decisions themselves Third party neutral takes the parties through stages:

  1. Opening statements
  2. Defining the issues
  3. Developing understanding of issues
  4. Developing solution
 As agreement to which parties are morally committed
Arbitration By agreement

By contract

By legislation

 Third party neutral acts as decision maker Arbitrator receives statement of issues from both parties. In hearings, takes parties through stages:

  1. Opening statements
  2. Argument / evidence
  3. Examination in chief
  4. Cross examination
  5. Summation. (Unless parties agree to a less formal process)
 A decision by the arbitrator which is final and binding.
Litigation Either party may initiate Judge acts as decision maker Judge takes the parties through stages:

  1. Opening statements
  2. Argument / evidence
  3. Examination in chief
  4. Cross examination
  5. Summation.
 A decision by the Judge which is final and binding.