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Alternative Dispute Resolution Methods

University of Moratuwa

M.SC. in Project Management

2020
 Dispute resolution
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Ways of achieving a solution in construction

disputes can be:
 ‘Adversarial’ or ‘non-adversarial’
 Adversarial process is ‘rights-based’ and
provides an ‘imposed’ outcome
 Non-adversarial process is ‘interest based’ and
provides a ‘voluntary’ outcome

 Resolving disputes by means of court proceedings

(litigation) involve adversarial, imposed and right-
based process/ outcome with ‘win-lose’ situation.
 What is Alternative Dispute
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Resolution?
 "Alternative dispute resolution" (ADR) is a
term generally used to refer to informal
dispute resolution processes in which the
parties meet with a professional third
party who helps them resolve their
dispute in a way that is less formal and
often more consensual than is done in the
courts.
 ADR; non-adversarial
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(consensual) process
 Resolving disputes by amicable means
and by methods such as mediation ,
conciliation involve non-adversarial,
voluntary and interest-based process/
outcome
 In this system the disputants involve in a
‘consensual’ process in order to arrive at
a settlement by the disputants
themselves with or without the help of a
third party (neutral) and end up in a
‘win-win’ situation
 ADR can be seen in terms
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of;
 Consensus - a joint objective to find a business
solution
 Continuity - a desire to find a solution in the
context of an ongoing business relationship
 Confidentiality - the ability to tailor a solution
that is geared towards a business result rather
than a result governed by the rule of law, which
may be too restrictive or largely inappropriate
 Control - avoiding harmful revelation of private
facts to the public
 Consensus

ADR
Continuity
Control

6 Confidentiality
 What is Amicable Settlement?
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 Settlement between parties themselves

 Importance of control within the parties
 ADR Methods
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 Mediation
 Conciliation
 Adjudication
 Arbitration
 ……………..
 Advantages and
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disadvantages of ADR
 Private and informal
 Parties’ have more control over choosing the
procedure, neutral, place, rules
 Can be cheaper and quicker if parties co-
operate
 ………………..

 Disadvantages?..............
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Thank you