Med-arbitration
Med-arbitration (med-arb) is a form of alternative dispute resolution that combines mediation and arbitration. The parties agree to a mediation initially but, if that fails, in whole or in part, to achieve a settlement, the mediator takes on the role of arbitrator, with powers to make a legally binding award in relation to the remaining issues, but based solely on the evidence presented in the arbitration proceedings.
The same person may act as mediator and arbitrator in this type of arrangement.
Med-arbitration offers a continuous rather than stop / start process for dispute resolution, in which the parties may be more inclined to put effort into the initial mediation in order to reach a consensual settlement given the knowledge that a binding arbitration may follow.
An agreement to the procedure must be entered into by the parties before the process begins, including acceptance of possible arbitration and waiving rights to litigation.
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