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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.
Conciliation is an alternative out-of-court dispute resolution instrument. Like mediation, conciliation is a voluntary, flexible, confidential, and interest based process. The parties seek to reach an amicable dispute settlement with the assistance of the conciliator, who acts as a neutral third party.
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.
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.
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.