Understanding The Difference Between Mediation, Arbitration and Trial

Many who confront the legal system for the first time,novo if he or she does notachieve a better result in
voluntarily orinvoluntarily, are faced with having totrial than achieved in arbitration. Privateorganizations like
decide the forum in which theirdispute will be resolved.AAA, JAMS, Judicate West, and IVAMS similarly
In some instances, the forum in which adispute will beofferarbitration services. The cost is similarly based on
resolved has been pre-selected by the partiesan hourly rate orhalf or full-day basis.
however,more often than not, litigants will make theirIn advance of arbitration, with all sides usually
forum selection onlyafter a dispute has actually arisen.represented bycounsel because arbitration is an
It is therefore important to havean understanding ofadversarial proceeding, thearbitrator will be provided
the difference between mediation, arbitration andtrialbriefs detailing the positions, argumentsand demands of
and the benefits and drawbacks of each. Often times,each side. The rules of evidence in
the forumselected will dictate how quickly andarbitrationproceedings are quite liberal. As such,
effectively the dispute isresolved.documents and other writingsthat might be excluded
Mediation is a voluntary process wherein two or morefrom evidence in a trial will be received andconsidered
parties to a disputetry to resolve their differences within arbitration. Arbitration will proceed in whatever
the assistance of a neutral, disinterestedthird partyfashionthe parties desire. This may mean evidence is
such as an attorney or retired judge. In most instances,introduced through theadmission of exhibits and by
the costof the mediator is shared equally however, thisway of live or recorded testimony orsimply by way of
is not always the case, especiallywhere one party hasoffer of proof (usually an attorney explaining whatthe
an interest in seeing the matter resolve and offers toevidence is). The proceeding is much more formal that
pay forthe mediation in order to entice the other partya mediationand, as above, is adversarial in nature.
to attend and partake. These days,there are numerousOnce all the evidence isreceived, the arbitrator will
private mediation centers including, but not limited to, atusually take the matter under submissionand render an
leastin the Southern California area, AAA, JAMS,opinion and/or issue an award shortly thereafter.
Judicate West, and IVAMS. The costof retaining aThisopinion or award is final and may only, under very
mediator to assist in resolving your dispute will varylimitedcircumstances, be challenged or appealed.
dependingon such factors as the experience level ofArbitration proceedings are usually considerably shorter
the mediator, how busy he or shemay be, the naturethan a trialand will often be less expensive though that
of your dispute, the complexity of the issuesis not always the case.
presented, andthe number of involved parties. MostThe major drawback to arbitration is that you have
private mediation centers bill for theirmediator's time ontrusted the outcomeof your case to a single trier of
an hourly basis however, others bill a flat fee for a halffact giving up your right to a jury.
orfull day.This may be fine in some cases however, where
Mediation is not, like arbitration or trial, adversarial inpassion and prejudice mayplay a role in how the case
nature. Assuch, parties to a dispute can mediate theiris decided, it may be advantageous to you,depending
differences withoutcounsel. Anything said duringon which side of the case you are on, to try the case
mediation is inadmissible in court. Thus,it is notto ajury of twelve.
uncommon to see parties who partake in a mediationTrial is what we most frequently see on TV. It is the
sittingtogether in a conference room and, with thesubject ofvirtually every hit crime drama of our time
assistance of the mediator,working toward identifyingfrom "LA Law" to "Boston
the contested issues and then brain stormingto resolveLegal" to "Law & Order". In the absence of a plea
them. Mediation is a give and take process whereagreement, trialis where virtually all criminal cases are
there is nodeclared winner and no declared loser. Foradjudicated. In the civilarena, trials are less frequent. In
mediation to be successful,each side must give upfact, most, upward of 90%-95% ofall litigated civil
something. Mediation is non-binding unless thepartiesdisputes settle in advance of trial. Trial is riskyas there
agree to be bound by whatever result is achieved.is no way to tell what a jury (should you chose to
Mediation isfavored and recommended in casesproceed byway of jury trial) will do with a case. Simple
involving neighborly disputes, familydisputes, or wherethings such as demeanor,appearance, accent, etc. can
parties to a lawsuit involving a claim forhave a dramatic effect on how a jury viewsa case. If
monetarydamages believe that with the intervention ofthere is anything certain about a jury trial, it is
a neutral third party, asettlement can be achieved.theuncertainty of the outcome. For that reason, at
Mediation is often the easiest and mostcost effectiveEISENBERG LAW GROUP wework hard to resolve
way to resolve disputes. The major drawback todisputes before trial. This is not to suggest thatwe at
mediationis that if no resolution is achieved, the otherEISENBERG LAW GROUP avoid or shy away from
side will, by virtue ofyour disclosures in mediation, havetrial. Quite theopposite! Messrs. Day and Eisenberg
a better feel for what theories orclaims (and strengthshave over 30-years combined trialexperience and a
and weaknesses thereof) you might proffer inlitigation.fabulously successful track record for
Arbitration differs little from a bench trial (a trial in whichfavorableoutcomes. Trials however, are expensive
the judge servesas trier of fact as opposed to a juryand carry with them not onlythe uncertainly
fulfilling that role). Arbitrationmay be binding orreferenced, but the risk of appeal which, at present,can
non-binding. Binding arbitration is usually byagreement oftie a matter up for 2 years. In addition, trials can be long
the parties with each expressing, in a writing,anddrawn out. Many judges only hold trial 3-days a
awillingness and commitment to be bound byweek which means a
whatever decision thearbitrator may reach. Non-binding5-day trial with jury selection and deliberation can last
arbitration affords the losing partythe opportunity to2-weeks ormore. For these reasons, we at
seek a trial de novo (a trial on the merits withoutregardEISENBERG LAW GROUP consider use of
to the arbitrator's findings) however, there are oftenallavailable forums for resolving your dispute placing
penaltiesimposed on the party requesting the trial deyour interestsabove all else.