Dispute Resolution Services

Dispute Resolution Services

Unfortunately, some businesses may find themselves in a dispute with a customer, a vendor, or an unrelated third party. Although, for most of my clients, my goal is to avoid disputes before they happen, the law of large numbers means that sooner or later, you will find yourself in a dispute.

Most disputes can usually be resolved through creative negotiation, as protracted disputes are costly for all parties involved. A dispute involves the expenditure of resources, time, and money that could be better spent on other needs. However, if you must resort to more formalized dispute resolution, you will need zealous representation that utilizes a client-centered problem-solving approach. Dispute resolution, after attempts at informal negation, usually take one of three forms: mediation, arbitration, or litigation.

Mediation

Mediation is the least formal and often the most private form of dispute resolution. The parties and their lawyers select an experienced mediator to assist them in reaching a mutually agreeable solution. Mediators are most often experience attorneys or retired judges who have experience in evaluating cases and legal arguments. Usually, mediators prefer to hear directly from the parties, rather than their lawyers. The best mediators can resolve 95% or more of the disputes that appear before them. A mediator does not decide “who wins,” but instead helps the parties find common ground and assists them in fashioning a resolution that works for all parties. Mediation is generally voluntary, although it can be required before resorting to other forms of dispute resolution. The parties typically divide evenly the fees for a mediator.  Many court systems have a path where a case can be assigned to a mediator to resolve cases that have been filed in a court.

Arbitration

Arbitration is best thought of as “private court.” The arbitrator is often selected from a group of “neutrals” that are engaged through a third party services such as the American Arbitration Association, the Judicial Arbitration and Mediation Services, National Arbitration and Mediation, or specialty mediators such as FINRA for financial services related arbitration, or National Academy of Arbitrators for labor disputes. Often, these organizations have detailed procedural rules for filing and administering cases. Arbitration is private and usually expensive. However, for specific subject matters, such as cases involving intellectual property that need to be kept secret, or construction matters (which have a very high success rate and an interest in moving quickly), arbitration is preferred despite the higher costs. Not only do you have to pay your lawyers, you also have to pay the arbitrator for their time.

Litigation

This is what most people think of when they consider dispute resolution — going to court. The United States has a robust, albeit overworked, court system. Depending on the nature of your claim, you might find yourself in a lower level court where cases are heard in a matter of two to three months. You may also face “bet the farm’ litigation in federal or state court, which may take months or years to reach trial. We will work together to prepare your case either as the plaintiff or as the defendant.

Little Known Fact: Most larger litigation cases don’t go to trial. The parties may negotiate a settlement to avoid the expense of trial.

Additional Billing Policies for Dispute Resolution Services

As a small firm, when we take on dispute resolution services, the time and effort required generally means that there is a limit on other cases and clients we can serve. As a result, we charge a higher hourly rate for dispute resolution services and typically require a significant retainer deposit. We will discuss those matters with clients in our fee agreements. We can make payment plan arrangements as well or be creative with fee arrangements.

Because we are a small firm, as a general rule, we do not take cases on a solely contingency fee basis, although we can discuss options.