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Some contracts state that the parties must ?mediate? a dispute before ?litigation? or ?arbitration.? Through mediation, the parties attempt to resolve their dispute with the assistance of a mediator. The mediator is not a decision-maker. Rather, the mediator assists the parties through facilitating a negotiation.
Conciliation, mediation and arbitration are methods of resolving collective disputes in industrial relations. Generally, arbitration is distinguished by the fact that the arbitration decides the dispute, whereas conciliation and mediation only aim to assist the parties to reach a settlement of the dispute.
In contrast to arbitration, the mediator helps the parties reach a compromise rather than imposing a resolution. It is widely used in conflicts related to workplace and community. Conciliation is a process similar to mediation, but with an additional interventionist role of the conciliator.
However, when a conciliation matter remains unresolved the party can refer the matter to arbitration. This is a 90-day process. It is important to note that the conciliation and arbitration processes need to be heard within 120 days.
Arbitration is typically an adversarial process where the parties present their case to the arbitrator. Conciliation is more collaborative, focusing on finding common ground and resolving disputes amicably. Arbitration can be relatively quicker than litigation but may take several months or years.