Business disputes are one thing that most business owners universally want to avoid at almost any cost. It is a lot of time, money and effort to take a case to court, after all.
However, there are plenty of ways to resolve a dispute outside of court. But how is this possible?
FINRA looks at some of the alternative methods of resolving disputes, like mediation and arbitration. Opting for one of these in the event of a business dispute will save time and money because no one will have to go to court.
Arbitration even has similar benefits to taking a case to court. An arbitrator has similar powers to a judge. They listen to all parties present their side of the argument and take evidence into consideration before making a final decision. All parties will have to abide by this verdict.
Mediation, on the other hand, is a little less structured. This option best serves people who would otherwise have the ability to work toward an outcome on their own and only need a little help and guidance on the way there.
Mediators do not have the ability to make decisions on behalf of others in the way arbitrators do. However, they can and will state their opinions on various matters, offer advice where necessary and when asked, and ensure that everyone has their fair share of time to speak. They can also de-escalate any arguments that may happen.
Either option works in certain situations, so it is best to consider one before thinking about taking a dispute to court.