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This Practice Note explores various alternative dispute resolution (ADR) options used in cross-border disputes. What is ADR? ADR denotes a collection of methods for resolving disagreements other than through the trial process. It offers a confidential means of settlement outside a court of law, whereby a dispute or difference is referred to an impartial individual or panel, either for determination or to help the parties achieve a negotiated resolution of their dispute. The process may lead to a binding outcome if the agreement by which the parties submit the dispute to ADR so provides. Note that the Commercial Court Guide and the Circuit Commercial Court Guide use the term negotiated dispute resolution (NDR), which can broadly be classified as either facilitated processes or imposed decisions. The two principal forms of ADR are arbitration and mediation. For insight into the range of ADR types available, see Practice Note: What is ADR? Arbitration The most consistently utilised ADR method in cross-border disputes is arbitration. This is a private form of...
Definition of ADR Alternative dispute resolution (ADR) is defined in the CPR Glossary as a collective label for methods of settling disputes other than through the usual trial process. Some courts adopt the term ‘negotiated dispute resolution’ (NDR) to describe resolution by alternative means; for ease, this Practice Note uses ADR. For guidance on how ADR is addressed in the various court guides, see Practice Note: ADR and NDR in the court guides. In essence, ADR is a means of resolving a dispute outside the court system. It typically involves a neutral third party who either helps the parties reach a negotiated outcome, or issues a determination of the dispute that is legally binding. A binding result can follow where the agreement to refer the dispute to ADR so provides. There are multiple forms of ADR processes. For an outline of the different types and their respective advantages and disadvantages, see Practice Note: Which form of ADR?...