Alternative dispute resolution (ADR) that is used by many in the construction industry to settle contract disputes. ADR gives disputing parties the opportunity to come to a mutual agreement instead of pursuing litigation. Disputes can be handled by through two types of ADR: a mediation or arbitration. If you find yourself in a construction dispute, we highly recommend you contact at Tallahassee construction dispute attorney to help you resolve your disputes through an effective dispute resolution method such as ADR.
During a construction mediation, disputing parties present their grievances to a mediator who is an unbiased third-party. A mediator doesn’t come to a legally binding final decision for the parties, rather, the mediator helps the parties come to a final decision that both parties are satisfied with. Some of the ways a mediator will do so is by giving both parties the opportunity to discuss the issue and provide evidence.
Memorandum of Understanding
The Memorandum of Understanding (MOU) is used during mediation once the parties have come to an agreement. The MOU is a legally binding document that is signed by both parties. It will identify the parties, present the issue and agreement, and give terms of the agreement.
During a construction arbitration, an arbitrator, a neutral third-party, will review the case and come to a final decision on behalf of the disputing parties. The final decision made by the arbitrator is legally binding.
How You Benefit From Mediation
Many find mediation to be beneficial and may report a higher level of satisfaction with outcomes. Some of the advantages of this alternative form of resolution include faster results compared to going to court, it’s less intimidating, it can be cheaper, and you have more input and control over the final decision.
As a last result, if parties cannot come to an agreeable resolution through ADR, a remedy can be sought through litigation. With litigation, the case is presented in a court of law and a binding legal agreement will result. Rest assured that Tallahassee construction dispute attorneys are highly experienced and can help you resolve disputes, whether through ADR or litigation, professionally and confidentially.
If you are in need of a professional construction law firm, please submit our contact request form for more information.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.