Arbitration, Mediation, and Litigation: Which is Right for You?

August 2, 2023

Share Article:

Have Any Question?

Settling disputes with our arbitration services is easy, fast, and affordable.

We look forward to answering your questions and helping you to reach conflict resolution with our arbitration service.

Recent Posts

Businessman on business trip telephoning with smartphone

Top 5 Arbitration Trends to Watch in 2025

Real estate disputes can arise in many forms—whether they concern contractual disagreements, property rights, or tenant relations. Traditionally, the solution to these conflicts often involved long, drawn-out court litigation, which can be expensive and time-

Read More »
Making responsible decisions about their future

Resolving Real Estate Disputes Through Arbitration

Real estate disputes can arise in many forms—whether they concern contractual disagreements, property rights, or tenant relations. Traditionally, the solution to these conflicts often involved long, drawn-out court litigation, which can be expensive and time-

Read More »
The owner of the company

How Mediation Prevents Costly Lawsuits

When faced with a legal dispute, many people assume that going to court is the only solution. However, mediation offers a cost-effective and efficient alternative dispute resolution method that can prevent the high costs associated with litigation. Mediation is a

Read More »
focused female lawyer working on laptop at workplace in office

Understanding Dispute Resolution Clauses in Contracts

A dispute resolution clause is a key element in most business contracts and commercial agreements, specifying the method by which contracting parties will resolve any disputes that arise under the terms of the contract. These clauses outline the procedure for

Read More »

As a business owner, issues will arise, and you must familiarize yourself with dispute resolution. Whether you are protecting yourself from a supplier or if you are facing legal problems with one of your clients. Dispute resolution can be long and tedious; in this article, we will cover your options to help you decide which process is right for you and your business.

Litigation: The Long and Costly Road To Resolve Disputes

We will begin with the option you may think is your only option, litigation, the most formal and traditional method of resolving disputes. With this option, you will go through the traditional court systems, you and the defendant will have a lawyer, and you will present the evidence and case to a judge. Ultimately, the judge will decide the case based on past rulings or requirements in that industry.

Receiving a hearing or trial through a traditional small claims court is often very difficult. Courts are so backed up with cases that, at times, it can take years to get a court date. Also, cases within a court become public records, and most companies do not want such records to be visible to the public.

Out of our list of options, litigation is by far the slowest, most inconvenient, and most costly option for solving disputes.

Senior businessman gray hair working on laptop in modern office

Mediation: A Non-Binding Settlement

With mediation, all parties can be remote and happen in real time. Rather than having a judge decide your case, with mediation, you have a unbias third party (aka mediator) who hears out both sides of the dispute. This cuts the cost of going to a physical courtroom and is very cost-effective.

Within the mediation process, you and your defendant present and upload your evidence and documents that support your case. The mediator will then use this information for negotiations; however, the outcome of mediation must be agreed upon by both parties, and any resolution is non-binding.

While mediation may be affordable and take less time than litigation, you may still be left with the uncertainty of the implementation of resolution because, despite the mediation, if a solution is not reached, you will not have any legally binding judgment. Instead, you will have a settlement agreement that may result in additional disputes.

Arbitration: A Great Intermediate Solution

Arbitration is similar to mediation in that a neutral third party reviews the uploaded documents, and hearings are remote and may happen in real-time; however, this judgment (aka award) is fully enforceable. If necessary, you can take this award to court so the court can issue a garnishment order to withdraw payments from the defendants’ paychecks and bake accounts or file abstracts. Once the award has been given, it’ll be fully enforceable with the total weight of the legal system behind it.

Conclusion: Understanding Your Options

Every case is unique and requires a particular approach to find an efficient favorable outcome. There are several reasons why arbitration or mediation should be used over traditional small claims courts; arbitration or mediation may be the fastest and most cost-effective solution. 

Contact Rapid Ruling today if you are considering arbitration or mediation, or begin your arbitration process by visiting our eFile portal.

Recent Posts

Businessman on business trip telephoning with smartphone

Top 5 Arbitration Trends to Watch in 2025

Real estate disputes can arise in many forms—whether they concern contractual disagreements, property rights, or tenant relations. Traditionally, the solution to these conflicts often involved long, drawn-out court litigation, which can be expensive and time-

Read More »
Making responsible decisions about their future

Resolving Real Estate Disputes Through Arbitration

Real estate disputes can arise in many forms—whether they concern contractual disagreements, property rights, or tenant relations. Traditionally, the solution to these conflicts often involved long, drawn-out court litigation, which can be expensive and time-

Read More »
Corner of courtroom with wooden desks and railings and leather chairs

Why Companies Prefer Arbitration Over Court Litigation

When faced with a legal dispute, many people assume that going to court is the only solution. However, mediation offers a cost-effective and efficient alternative dispute resolution method that can prevent the high costs associated with litigation. Mediation is a

Read More »
The owner of the company

How Mediation Prevents Costly Lawsuits

When faced with a legal dispute, many people assume that going to court is the only solution. However, mediation offers a cost-effective and efficient alternative dispute resolution method that can prevent the high costs associated with litigation. Mediation is a

Read More »
focused female lawyer working on laptop at workplace in office

Understanding Dispute Resolution Clauses in Contracts

A dispute resolution clause is a key element in most business contracts and commercial agreements, specifying the method by which contracting parties will resolve any disputes that arise under the terms of the contract. These clauses outline the procedure for

Read More »
Violet - Product design
Join our email list and file one claim free!*

*terms apply