There are a lot of types of alternative dispute resolutions, such as mediation, executive tribunals, dispute review boards, engineer’s decision/determination, expert determination, statutory adjudication and dispute adjudication boards, and meetings of executives. According to the Centre for Effective Dispute Resolution, mediation is defined as a confidentially conducted meeting held by a third party who is responsible for negotiations between two opponents.
Key issues of mediation are confidentiality and facilitative, the interests are more valued than rights. Mediation may be used at any stage of relationship development. Having many advantages, such as the possibility to identify the main issues between the parties and test the strengths of an argument, there are a number of disadvantages. One of the main disadvantages of mediation is that it does not guarantee a decision.
Executive Tribunals are one of the types of dispute resolutions when two parties present their best cases to the senior executive representatives from each of the parties. The presence of a neutral party is required. The decision is made on the basis of what is said. The main advantage of this way is that the parties focus on the most important issue. However, the solution is not guaranteed.
Dispute Review Boards are used at the beginning of any project. Usually created online, such a dispute board is visited daily, forgetting important information. Too varied variants and ideas may be presented that creates difficulties in searching for particular information defining the best solution to the problem. The engineer’s decision involves the professional idea of engineers. Having received a qualified opinion, the fault is in the fact that only the engineer’s part is reviewed. Expert determination applied to the professional opinion of an independent expert under whose point of view the decision is made. This procedure is confidential, each of the sides can present arguments for the issue, however, an expert opinion is central, and it is considered as the final one.
Speaking about adjudication, it should be stated that there are statutory adjudication, non statutory adjudication, and dispute adjudication boards. Statutory adjudication is referred to in case of cash flow problems. This type of resolution does not require any particular procedure, therefore the problems may appear. The decision making is usually made by layers depending on their interest in this case.
However, dwelling upon the general work of this type of alternative dispute resolution, it should be adjudicated by a dispute adjudication board. This organ should be turned to on the 28th day after the parties have a conflict and decide to use the services of the dispute adjudication board. The procedure of solving a dispute with the use of a dispute adjudication board may be stated in the contract, otherwise, the specific rules applied by the Particular Conditions are to be followed.
A dispute adjudication board should give its decision within the following 84 days or within the deadline mentioned in the contract. Parties have the right to state their disagreement with the decision and sent it to the dispute adjudication board within 24 days after the decisions are taken. Otherwise, the decision is considered final. Dispute Review Boards do not give any decisions. This organ may just offer recommendations in accordance with a particular issue. This is the less formal type of alternative dispute resolution, however, it may be very effective if appropriately considered.