Mediation is typically less costly. Typically $150-$300 per hour.
Arbitration can be $1000 to $2000 per day and litigation may
last years.All of the estimated costs are for the fee itself, not the
cost of attorneys, and fees that may be assessed for meeting
space.
Mediation is more often than not, completed in less time.
Preparation time for mediation is typically less than in
arbitration and definitely less than in litigation. overall time
away from work is less for mediation. Arbitration typically
takes 3-4 days to complete
No Attorneys are required in mediation, but are welcome.
Parties often speak for themselves, and speak their opinions
without rules. Solutions and remedies can be creative in
nature when utilizing mediation. In Arbitration parties may
have some rules, have less creative options and will not be
able to overturn a decision made by the arbitrator.
There is no formal
training mandated or
provided for mediators,
so mediators may be
inexperienced.
Mediation has no formal
rules so there may be an
imbalance in good faith,
there may be a controlling
power and a biased
mediator
In Mediation both parties must
agree to come to a decision. In
arbitration and litigation a
decision is made for the parties
based on the information
provided. In mediation if a
decision is not agreeable there
may be no outcome. In arbitration
and litigation a final decision may
be made, even if not agreeable.
Advantage
Disadvantage
Mediator Qualifications
Mediators must have good
communication skills
Mediators must have basic training
in mediation as well as hands on
observations and co participant
sessions.
Mediators will subscribe to a
code of ethics and standards of
practice for mediators
Mediators participate in ongoing
educational experiences at least
annually
Mediators (should)
remain unbiased
Advantage and disadvantages of arbitration
Arbitration is conducted in a
private session out of court and
can be done in the day, nights
or weekends. Clients agree on
time location and shared cost.
Arbitration is most commonly
completed faster than
litigation, parties can share
the cost helping to lower the
burden for each participant.
The final decision
from an
arbitrator can be
upheld as in a
court of law.
Disadvantage
Decisions made through
arbitration are difficult to
appeal and may not be
favorable to one of the parties.
Arbitrators may have a lack of
power / enforcement if one party
is stalling or being difficult in the
proceedings. If stalling happens it
may become costly for the
proceedings.
Sometimes arbitration can
limit the informal and
creative ways of reaching a
settlement between parties.
Advantage
Arbitrator
qualifications
Arbitrators have at least 10 years of professional experience or legal practice
experience
Arbitrators have a degree or a license in the related
field
Arbitrators have documentation of; certifications, awards, or have leadership
in the field or other documented accomplishments that demonstrate their
strengths, abilities and accomplishments.
Arbitrators have training and or experience in
arbitration matters. Beginners must accompany an
experienced arbitrator to observe and practice
before they are left to arbritrate a case on their
own.
Arbitrators have documented membership in a
professional association