There are options other than simply going to court over every dispute with anyone in your business. Court is the default rule, but alternative dispute resolution can be used in many areas that might make sense for your business. But, the only way to enforce it is if you put it in your contract. Or, to agree to it once the dispute has begun.
Several years ago ADR, as it is more commonly called, was all the rage. Companies loved to add mediation and arbitration clauses to their agreements because it was believed to be less expensive and more economical at resolving disputes. Of course, it can become bogged down and have many of the same issues as litigation, just with different rules. Now, businesses are left to determine if it makes sense to include these ADR provisions in your contract.
There is more to an ADR provision than the stock Arbitration or Mediation/Arbitration Clause often seen in contracts.
At Gatehouse we work with our clients in the use of traditional and alternative methods of dispute resolution. Working with our clients to understand the best way to business and other disputes promptly and efficiently in the way that works best for the goals and the needs of our clients.
This often begins in the contract drafting phase of working with a business. At Gatehouse, when we work on contracts for our client, we discuss the vision and the purpose of the company to help determine the best option for dispute resolution clauses.
Our lawyers also work with clients who find themselves in a dispute involving ADR.