Discussion an assessment of the relative values of more formalized ADR (e.g., arbitration), compared to more informal ADR (e.g., negotiation, settlement, and mediation.)
Arbitration is referred as a more "formalized" form of alternative dispute resolution method because in arbitration the members agree to be bound by its outcome. What distinguishes arbitration is its binding nature. It is binding to the extent of a decision from the courts. This is the main reason why arbitration is referred to as a "formalized" form. It is in this context that we need to mention that foreign trade disputes are usually settled by arbitration and that international trade treaties have provisions for arbitrations. Even in the context of international trade the type of arbitration depends on the terms and conditions of agreements. When compared ...
Alternative Dispute Resolution is discussed in great detail in this solution.