When people think of resolving disputes, they often imagine a courtroom scene with a judge, lawyers, and witnesses. But going to court is not the only way to settle disagreements. Many people find that they can resolve their conflicts faster. There are alternatives outside of traditional litigation that are more amicable and affordable. This is where Alternative Dispute Resolution, or ADR, comes in. ADR includes various methods such as mediation, arbitration, and more. These methods are designed to help people resolve their disputes without the need for a lengthy and expensive court battle. In Arizona, ADR is particularly popular because of its practical benefits. In fact, the state’s court system encourages it as an effective means of resolving conflicts.

Mediation: A Collaborative Process

Mediation is a process that involves a neutral third party known as the mediator. The said person helps the disputing parties talk through their issues and reach a mutually acceptable solution. Unlike a judge or an arbitrator, the mediator does not make any decisions for the parties. Instead, the mediator’s role is to:

• Facilitate the conversation
• Keep the discussion on track
• Help both sides understand each other’s positions

Mediation is beneficial in situations where the parties want to preserve a relationship after the dispute is resolved. Thus, mediation is commonly used in divorce cases, business disputes, or conflicts between neighbors. Here, the parties are involved in creating their own agreement. As a result, they often feel more satisfied with the outcome compared to having a court impose a decision.

Family Mediation in Arizona

In Arizona, mediation is widely used, and many courts actually require it for certain types of cases. For instance, in family law matters such as custody disputes, Arizona courts often encourage or mandate mediation. This is a way to help parents resolve their differences without needing a trial. The Maricopa County Superior Court, for example, has a Family Mediation Program where trained professionals help parents come to agreements regarding parenting time and custody arrangements. This not only saves time and money but can also reduce the emotional strain that a contentious court battle can bring.

Another great aspect of mediation is its confidentiality. What’s said during mediation cannot be used later in court if the mediation fails. This allows parties to speak openly and honestly without fear that their words will later be used against them.

Arbitration: A Binding Decision Without the Courtroom

Arbitration is another form of ADR but is quite different from mediation in one way. Here, the arbitrator makes a decision that is often binding, similar to a judge in a courtroom. In arbitration, the parties present their case to a neutral arbitrator (or sometimes a panel of arbitrators). Such authority listens to the evidence and arguments from both sides before making a decision. This decision is usually final and enforceable, just like a court judgment.

Arbitration is often used in business disputes, employment matters, and even consumer issues. Many contracts include an arbitration clause that requires the parties to go to arbitration if a disagreement arises. For instance, if you sign a contract with a company to install solar panels on your home, that contract might include a clause stating that if there’s a dispute over the quality of work, it must be resolved through arbitration instead of going to court.

Arizona law allows for both voluntary and mandatory arbitration. 

• Voluntary arbitration is when both parties agree to resolve their dispute this way.
• Mandatory arbitration happens when a contract requires it. 

Arizona Arbitration Act

The Arizona Arbitration Act (A.R.S. § 12-1501 to 12-1518) closely follows the Federal Arbitration Act. It allows parties to agree to arbitration and binding awards. It governs arbitration procedures in the state and ensures that arbitrations are conducted fairly. This law provides parties with the framework for how arbitration will be handled, from appointing an arbitrator to enforcing an arbitration award in court.

While arbitration is typically faster and less formal than a court trial, one downside is that the right to appeal an arbitrator’s decision is very limited. This can be a drawback for parties who feel that the arbitrator got it wrong but have no way to challenge the decision.

Other Forms of ADR

Besides mediation and arbitration, there are other forms of ADR, though they’re less commonly used.

Neutral Evaluation

This is where a neutral evaluator assesses the case early in the dispute and gives the parties an informed opinion on its merits. This can help both sides get a reality check on their positions and may lead to a quicker settlement.

Settlement Conferences

These are often used in Arizona courts and are quite similar to mediation. However, these are typically led by a judge or an experienced attorney who acts as a facilitator to help the parties negotiate a settlement. 

Collaborative Law

Particularly popular in family law, collaborative law is encouraged as an alternative to traditional divorce litigation. It involves both parties and their attorneys working together to resolve issues outside of court. If the process breaks down, the lawyers involved cannot represent the spouses in court, and new lawyers must be hired.

Conciliation

Conciliation is often used in family law disputes, similar to mediation. It typically involves a trained mediator (not necessarily a lawyer) who helps parties resolve issues related to marriage or divorce. Arizona’s conciliation court services are available in many counties (like Maricopa and Pima), offering free or low-cost help to resolve disputes over custody, parenting time, and other family issues. A.R.S. § 25-381.01 to 25-381.24 details conciliation services, often used to save marriages or help couples negotiate settlements amicably. 

Private judging

This is where parties hire a retired judge to make a decision outside of the courtroom. Although it’s less common in everyday disputes, it is used more in high-stakes or complex cases.

Benefits of Mediation and other Alternative Methods

One of the biggest reasons why ADR is popular in Arizona is because of its efficiency. The court system can be slow, and cases often take months or even years to reach a resolution. In contrast, ADR methods like mediation and arbitration can usually be scheduled and completed in a matter of weeks. Hence, these became attractive options for those who want to resolve their disputes quickly and move on with their lives.

Cost is another major factor. Court cases can be incredibly expensive, with attorney fees, court costs, and other expenses adding up quickly. Mediation and arbitration tend to be much less expensive than going to trial. This is especially helpful when the parties split the costs of the mediator or arbitrator.

Additionally, ADR allows for more privacy than a public courtroom trial. Many people prefer to keep their disputes out of the public eye. Since most ADR processes are confidential, they offer a level of discretion that’s simply not available in court.

Lastly, ADR tends to foster more creative solutions. In court, a judge is often limited by the law in terms of the remedies they can provide. But in mediation, for instance, the parties can craft a solution that works specifically for them, even if it’s something a court wouldn’t normally order.