What Is Alternative Dispute Resolution? (And Why Does the Association Use It?)
C ommunity associations and their
members disagree from time to time. When they do, the association board
attempts to resolve problems by using a three-step, problem-solving approach called alternative dispute resolution (ADR). It’s an effective and money-saving alternative to the traditional justice system; the three steps are negotiation, mediation and arbitration.
In negotiation, we identify the issues, educate each other about our needs and interests, brainstorm settlement options and hammer out our final terms. It’s an informal, cooperative process in which we can focus objectively on our interests.
Because negotiation is informal, it requires the least amount of time and expense. The board believes that when reasonable people engage in honest negotiation, this is the only step needed. But, in those unfortunate situations where we can’t find a solution, we take the second step—mediation.
In mediation, a neutral, trained mediator resolves conflict between two or more parties. Mediation is collaborative, but it does require a little more time and money. It tends to preserve relationships because the people involved create their own settlement agreements, which are not legally binding unless everyone agrees to formalize them. If mediation doesn’t work, there’s still one
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www.southgulfcoastchaptercai.com
Second Quarter - 2016
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