In simple terms, a dispute can be described as any disagreement or argument between persons or an argument arising from a group of people. Due to the complex nature of human beings, arguments and disagreements are bound to occur sometimes from mere interactions. Dispute resolution has been one of the enhancers of continuous human interactions and existence.
Today, parties are encouraged and advised to resort to alternative dispute resolution mechanisms in a bid to resolve disagreements that may have arisen during interactions. As a matter of importance, every lawyer is mandated to inform their client on the need to explore, as an option, Alternative Dispute Resolution (ADR) as a means of settling their dispute. By Rule 15 (3) (d) of the Rules of Professional Conduct for Legal Practitioners, 2023, non-compliance with this rule will attract sanctions from the appropriate authorities.
Alternate Dispute Resolution (ADR) refers to other methods employed in resolving a dispute between parties without necessarily going through the process of litigation. ADR involves several methods other than litigation to help disputants settle an argument without recourse to the Conventional Court System. ADR methods include the following;
1) Arbitration
Arbitration refers to a method of settling disputes where parties present their arguments before a neutral third party (the arbitrator) who hears evidence from both sides and makes a binding or non-binding decision (the award) on the parties. Arbitration and litigation share some similarities and features, but arbitration is less formal than a court.
2) Negotiation
Negotiation involves the process where parties disputing or involved in an argument come together to discuss the issues directly without involving a third party in order to reach a settlement. It is mostly informal in its approach; in fact, all dispute resolution involves one way or another, an aspect of negotiation.
3) Mediation
Mediation is a process where an impartial neutral third party, called the mediator, intervenes to facilitate the resolution of a dispute between parties by the agreement of such parties. In this case, the mediator does not reach or make a decision for the parties involved but merely facilitates a discussion to assist the parties in reaching a mutually accepted settlement. Here, the mediator facilitates communication, promotes understanding, and helps the parties focus on their interest and employ creative problem-solving techniques to enable the parties to reach an amicable settlement.
4) Conciliation
Conciliation refers to the settlement of a dispute by a neutral third party called the conciliator who offers proposals and suggestions to disputing parties to enable them to settle their disputes amicably. Conciliation is a more friendly and less antagonistic approach where the conciliator is usually an independent neutral party.
Although Alternative Dispute Resolution can be used for a wide variety of disputes, it is important to state at this point that not all disputes are subject to Alternative Dispute Resolution. That is, although the judicial system in Nigeria instructs legal practitioners to inform prospective clients of the Alternative Dispute Resolution Mechanism, matters that are criminal in nature are not subjects of Alternative Dispute Resolution.
The following matters are subject to Alternative Dispute Resolution: matters involving family disputes (divorce and custody), business conflicts, employment issues, landlord-tenant disagreements, consumer complaints, and small claims matters.
REASONS FOR ALTERNATIVE DISPUTE RESOLUTION
The following are reasons why most people opt for Alternative Dispute Resolution instead of the conventional court system;
1. Alternative Dispute Resolution is less costly compared to the whole process of litigation. 2. It is faster compared to litigation.
2. Alternative Dispute Resolution is more flexible as it gives disputing parties more control over both the process and the outcome of their issues.
3. Alternative Dispute Resolution preserves relationships, as litigation often breeds enmity. 5. Alternative Dispute Resolution is often private, unlike litigation, which is open to the public.
6. Unlike the Court system, Alternative Dispute Resolution is more future-focused as it focuses on future gain rather than passed hurt.
Not all disagreements and disputes have to end in litigation, as there are alternative dispute resolution options available. It is pertinent to note that Alternative Dispute Resolution is not exhaustive, as parties can opt for both Alternative Dispute Resolution and litigation, a combination of litigation and Alternative Dispute Resolution, called a hybrid.
