Serious problems, such as disputes with customers, vendors, employees, and other business associates, can affect business operations. If you lack the resources, time, or energy to go through the tedious process of litigation, you have good alternatives.
Read on to learn more about your options.
Dispute Resolution Apart from Litigation
When preparing for any dispute that you may face in the future, you may think of litigation. But you have to understand that litigation takes too much of your time and resources. It even takes a toll on your employees, even your family and your employees’ families. Instead of taking the case to court, you can hire arbitration or mediation services.
How Do They Work?
Arbitration and mediation use a third party that will remain neutral and oversee the entire process. The results can be legally binding to both parties, yet more companies use arbitration as a binding. Mediation serves a non-binding process.
During arbitration, the arbitrator chosen by the opposing parties will review the arguments of both sides. Afterwards, he or she will render a decision or course of action that both parties must adhere to, without any chance for an appeal. You can include an arbitration clause in your contractual agreements to use this type of legal process.
This process involves a neutral mediator who only acts as a middle man and not as a judge. A mediator will help opposing parties communicate in order to come to an agreement. Companies usually use mediation for labor disputes.
With these two litigation alternatives, you will be able to deal with serious disputes in your small business more effectively. Talk to professionals who offer arbitration and mediation services here in Colorado to get more information.