Free negotiation and adr system case study sample


Litigation is a process of dispute resolution that is considered to be cumbersome and very expensive. It involves going through the courts and this process is usually tedious especially because courts have several pending cases to handle. In this regard, many institutions find it preferable to make use of other Alternative Dispute Resolution systems (ADRs) which tend to be less time consuming and even less tedious.
1 A. The systems of alternative dispute resolution other that can be used by the employer other than that of litigation are such as that of mediation, that of arbitration and minitrials. These methods of resolving disputes are more preferable for an organization because they are expeditious and more economical for the organization. ADRs will enable the organization deal with problems such as that of illegal discrimination without going through the cumbersome process of litigation.
The ADR method of mediation involves the use of a third party who is neutral to resolve disputes between the conflicting parties. The person mediating is not required to impose any kind of decision upon the conflicting parties. Rather, the mediator guides the parties through the process of talking in a bid to resolve the conflict. The disputes faced by the parties will eventually be over when the parties involved in the dispute reach an agreement, which they are willing to abide by (Sourdin, 2004).
The process of arbitration as an alternative dispute resolution also involves the use of a third party to listen to the arguments brought forward by the conflicting parties. In this case, the arbitrator will impose a decision, which is expected to bind both parties. Another alternative, which is a minitrial, involves the use of an expert who is included in the hearing of a case after the top management have been served with the case at hand in a condensed form(Meiners, Ringleb & Edwards, 2011). The top management will then eventually be able to reach a decision after they have seen the weaknesses and the strengths of whatever resolution they wish to make.
B. Yes, employees should be required to sign a contract to serve as evidence to their agreement to use an ADR method to solve any disputes before they can opt to file a lawsuit against the organization. Signing a contract will bind the employees to seek for other alternative methods to settle any disputes that arise and this will thus help the organization avoid cases of multiple suits against it even on issues that would have otherwise been resolved amicably. Furthermore, this initiative will enable the organization handle claims regarding worker dissatisfaction effectively and thus save on its resources.
2 A. The organization should first begin by assessing the quality of service delivered to the clients. For instance, the company should determine whether the carpet it is manufacturing is of good quality. If the quality of the carpet is questionable, as the vice president I will come up with ways of improving its quality to avoid incidences in which claims worth more than $10000 are being made. Another step the company should take is to make inquiries from their customers as to what problems the clients are facing be it with the personnel of the company or the products made by the company. This method is accurate, as it will enable the company to accurately and efficiently determine the precise reason why it is receiving numerous complains.
B. The difference that exists between conflicts and disputes is that disputes are considered disagreements that are short term in nature and therefore they can be resolved with a greater ease. On the other hand, conflicts tend to be disagreements that are long term in nature and are thus more difficult to resolve.
C. Yes, the company’s sales contracts should include a clause that will make it necessary for parties to resolve their disputes using any kind of mechanism other than that of litigation. This will encourage the company to conduct its business effectively without being drawn back with the problem of litigation. Encouraging clients entering sales contracts to use arbitration and mediation will give the company an opportunity to effectively handle customer complaints and even reassure clients that such a problem will not recur.
D. The courts can be used when the disputes regarding the sales contracts cannot be resolved using the alternative dispute resolution methods. For instance, courts can be used when the process of mediation fails.
3 A. The difference between mediation and arbitration is that mediation involves the use of a third party who is neutral to facilitate the process of mediation in which the parties involved in the dispute reach an agreement that is acceptable to them. On the other hand, the process of arbitration involves the use of an impartial third party who will review the dispute and impose a final decision, which is binding on both parties (Meiners, Ringleb & Edwards, 2011). Another difference is that mediation gives room for appeal or for the parties involved to pursue the problem they are facing further while arbitration does not give any room for appeals.
B. The first step is to assess the existing conflicts and disputes in an attempt to determine the reason for their existence. This analysis will help to establish their history and the causes of such conflicts in an efficient and an accurate manner. Another step is the examination of the parties involved in a given dispute or conflict. This will make it possible to determine the extent to which such parties represent the overall society and to a large extent help in understanding the reasons why such disputes and conflicts come about in the first place.
C. The contracts with the consulting firm both with the clients and with the employees should include a clause that facilitates the process of dispute resolution. As such the system of dispute resolution that can be used is that of mediation where an impartial person can be used to facilitate the process of dispute resolution. This method is expeditious and this makes it convenient for the consulting firm to do business.


The alternative methods used in settling disputes have proved to be very effective for several businesses. Organizations can therefore enter into contracts without the fear of facing multiple suits either from clients and employees. Additionally, it is important to include dispute resolution contracts prior to getting into contracts.


Meiners, R. E., Ringleb, A. H., & Edwards, F. L. (2012). The legal environment of business.
Mason, OH: South-Western Cengage Learning.
Sourdin, T. (2004). Alternative dispute resolution and the courts. Leichhardt, N. S. W: The
Federation Pr.