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7.2
U3AOS2 - Dispute Resolution Metthods
| Question | Answer |
|---|---|
| What are the three main alternative dispute resolution (ADR) methods? | Mediation, Conciliation, and Arbitration |
| What is the purpose of alternative dispute resolution (ADR)? | To resolve or settle civil disputes without having a court or tribunal hearing |
| What is mediation? | A method where an independent third party (mediator) facilitates communication between disputing parties without offering suggestions or making decisions |
| Is a resolution from mediation enforceable? | Yes, if parties enter a terms of settlement, it can be legally enforceable |
| How is mediation used in Victorian courts and VCAT? | Courts or VCAT often order parties to attend mediation before the final hearing or trial, sometimes without their consent |
| What is judicial mediation? | Mediation conducted by associate judges in the Country and Supreme Courts |
| Who pays for the cost of mediation? | It is usually shared between the parties |
| Who is involved in mediation? | Two disputing parties (possibly with representatives) and a neutral third party mediator |
| What is conciliation? | A method where an independent third party (conciliator) assists parties to reach a resolution by offering suggestions and guidance |
| How does conciliation differ from mediation? | The conciliator is more directive, has specialist knowledge, and offers solutions, while a mediator only facilitates discussion |
| Is a resolution from conciliation enforceable? | Yes, if parties enter into a terms of settlement |
| Where is conciliation commonly used? | Consumer Affairs Victoria (CAV), VCAT, and sometimes ordered by courts |
| What is a compulsory conference in VCAT? | A conciliation-like process to identify issues and promote settlement before a tribunal hearing |
| When is conciliation appropriate? | When parties want to preserve a relationship, compromise, or keep matters confidential |
| When is conciliation not appropriate? | If there’s a history of violence, urgency, or gross imbalance of power |
| What are strengths of mediation and conciliation? | Informal, private, cost-effective, reduce stress, allow parties to control the outcome |
| What are weaknesses of mediation and conciliation? | Not always enforceable, may waste time if no resolution is reached, one party may dominate |
| What is arbitration? | A method where an independent arbitrator hears both sides and makes a legally binding decision called an arbitral award |
| Is arbitration binding? | Yes, the arbitral award is legally binding and enforceable through the courts |
| When is arbitration used in Victoria? | When parties agree to it, courts order it with consent, or a claim under $10,000 is filed in the Magistrates' Court |
| What is a key benefit of arbitration? | Binding and enforceable decision, private process, parties can control procedure |
| What is a weakness of arbitration? | Parties lose control of the outcome, can be costly, and may become formal depending on how it’s conducted |
| Who usually acts as an arbitrator? | A neutral expert in the subject matter who ensures fair treatment and allows parties to present their case |
| How is arbitration different from mediation and conciliation? | The arbitrator makes a binding decision, while mediation and conciliation rely on parties reaching voluntary agreements |
| When is arbitration appropriate? | When parties want a binding, enforceable decision, or when a contract requires arbitration |
| When is arbitration not appropriate? | If parties want to control the outcome or prefer a public resolution |