Business disputes arise frequently and often times when least expected. Those disputes can involve initial business formation issues, business contracts, a current or future business venture, or dissolving or winding up of a business. The most traditionally recognized form of dispute resolution is litigation with a judge and/or the jury presiding over a business issue. However, there are many other methods available through which your business disputes can be resolved that can often save you time and money.
Alternative Dispute Resolution
One alternative dispute resolution method is negotiation. Negotiation is the most basic means of settling differences. While some parties may decide to negotiate between themselves in order to resolve disputes, often parties hire attorneys to help negotiate a fair deal. A negotiated agreement can become a contract and is legally enforceable.
Another method of resolving your business dispute is mediation.1 Mediation is a voluntary process in which an impartial person – the mediator – promotes communication and assists parties to reach a mutually acceptable agreement. The mediator manages the overall process and helps facilitate negotiation between the parties. It is important to understand that a mediator does not make a decision nor force an agreement. The parties directly participate and reach their own settlement or agreement. The beneficial characteristics of mediation are that the process is voluntary, informal, and flexible. It is private and confidential and it is less expensive than a traditional trial.
Arbitration2 is another means of resolving business disputes. The process of arbitration involves submitting the disputed issue to an impartial third person, the arbitrator, for a decision. Arbitration is conducted out of court and the process typically involves the arbitrator hearing from both parties and making a decision. Similarly to a traditional trial, only one side prevails and unlike a traditional trial, appeal rights are limited. The beneficial characteristics of arbitration are that the process can be used voluntarily, it can be private unless a court appeal is accepted, and it may be less formal and structured than a regular trial.
Contact a Houston Business Litigation Attorney Today
The most appropriate resolution method for your case should be determined in light of the issue(s) presented in your dispute and the type of your business. To evaluate which resolution suits your needs, please contact your experienced Houston business attorney at the Weisblatt Law Firm LLC at 713-666-1981.