In this chapter, we address the issues surrounding mediation and arbitration and the effect that they have on modern litigation practices, as well as the topic of resolving a case prior to trial. Resolution may come in the form of alternative dispute resolution, primarily through the means of arbitration and mediation. But a case may also be resolved through settlement. In each of these instances, the case never reaches trial because of the actions of the parties to resolve all outstanding claims and end the case before a jury has the opportunity to hear the case. We begin our discussion with the topic of alternative dispute resolution, concentrating particularly on arbitration and mediation, and then move on to the separate issue of settlement.

After reading this chapter, you will be able to:

Explain the importance of alternative dispute resolution.

Describe the difference between arbitration and mediation.

Explain how an arbitration hearing is held.

Discuss the differences between common law arbitration and statutory arbitration.

Describe the duties of the arbitrator.

Explain how a mediator’s role is different than that of an arbitrator.

Describe the significance of an offer of judgment.

Explain the purpose of a settlement brochure.

Describe how a settlement brochure is created and what it contains.

Define “dismissal with prejudice.”