Businesses In Disputes May Find ADR Helpful
When a company is in a business dispute here in Michigan, its owners may have many worries related to the prospect of litigation. They may be concerned that litigation could have crippling costs associated with it. They may worry that having the dispute go to court could have negative effects on their company's reputation. They may have concerns that litigation could lead to significant bad feelings between them and the party the dispute is with, perhaps eliminating the ability to have future business dealings with that party, which could be a very big deal if the party the dispute is with is one the company has had a significant amount of dealings with in the past.
In some instances, litigation is necessary for a company that is in a business dispute to properly protect its interests. However, other times, given concerns like the above-mentioned ones, companies may find alternative ways for reaching a resolution to a dispute preferable to litigation. Thus, when in a business dispute, one thing a company may want to look into is alternative dispute resolution.
There are multiple ADR methods available. Two of the most well-known ones are mediation and arbitration. Mediation generally involves having a third party called a mediator help the parties to a dispute work on trying to reach an agreement that would resolve the dispute, while arbitration typically involves having a third party called an arbitrator hear the arguments of the two sides in the dispute and then issue a decision regarding the dispute. Mediation, arbitration and other ADR methods can sometimes have cost, confidentiality and flexibility benefits over litigation in business disputes.
Whether it be ADR or litigation, it can be vital for a company that is in a business dispute to find the dispute resolution method best suited for its particular situation. Our firm understands this and we are dedicated to helping our business dispute clients understand what dispute resolution options they have available to them and what the pros and cons of each of these methods may be for them given the particular nature of the dispute they are in.