Managers and consultants can play an important role in developing dispute resolution processes.
In this document, which a fully written exercice, we will Assume that the dispute between Rapid Printing and Scott Computers has been resolved. As a result of this dispute, B. R. Brown, the President of Rapid Printing, realizes that the company needs a dispute resolution system for dealing with business-to-business disputes in the future. Brown hires us as a consultant and asks us to design a dispute resolution system.
We will describe our proposed dispute resolution system in a memo to B.R. Brown and focus on dispute resolution, instead of dispute prevention.
1. The least expensive resolution systems
1.A. Mediation
1.B. Arbitration
1.C. Mini-trial
2. More expensive resolution systems
2.A. Administered
2.B. Self-administered process
3. Other resolution systems
[...] Here, we will focus on dispute resolution instead of dispute prevention. Here we will list the different methods that can be used to resolve a conflict. Each method can be effective if used for the appropriate conflict. The least expensive resolution systems 1.A. Mediation Mediation is a meeting with disputants, their representatives, and a mediator to discuss about understanding. Here, the mediator's role is to help the disputants explore new issues and see all settlement options disputants can have. The main advantage for this system is that any type of dispute can be resolved quickly and mostly, inexpensively. [...]
[...] In case of failure to resolve the dispute, the clauses call for arbitration or litigation, the parties' choice of law, waiver of jury, and other questions. This is an example that we can see as in the case of the offer proposal for the position of President of Global Sales and Marketing at Oracle. It protects itself from possible disputes by attaching clauses to the contract in the event of litigation. These clauses are to be taken very seriously as indicated by Oracle who even suggests to him to consult a lawyer before signing. [...]
[...] Fortunately, that's not the case of the following system of dispute resolution: arbitration. 1.B. Arbitration Arbitration is referral of a dispute to one (or more in function of the conflict) impartial persons who have the power to take the final decision, it's called the award. This system has the advantage of being private and confidential, it is designed for a quick, practical, and economical dispute resolution. In addition, the parties may exercise additional control over the arbitration process by adding specific arbitration clauses in case of a conflict when they sign the contracts. [...]
[...] More expensive resolution systems 2.A. Administered As it is written in the name, this approach requires the involvement of a separate administering entity during all the process. Administered can be a court or an independent entity that functions much like a clerk who manage the process in the resolution of conflict, it includes the filing, docketing and logistical, administrative and for finish secretarial support. Because of its significant involvement, the administering entity charges a substantial fee for its services. 2.B. [...]
[...] In that case, the assisted dispute resolution services can be customized (like fund holding, award review . ) can be provided following the request of the parties. This approach is very interesting because the parties pay only for the services that they use. With a flexible mix between self-administered resolution process with occasional administrative support, this choice is very interesting because very adaptable to the situation. Other resolution systems Note that if we want to be closer to recent events for our company, especially in its dispute with Phillips, another way to resolve the conflict may be to introduce a clause in the contract that stipulates the process in case of dispute. [...]
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