Explain Negotiation as method of ADR. (8 marks).

Question 1

What is negotiation?

Answer 1

• Parties resolve dispute without assistance or a third party.
• Quickest, cheapest and least formal ADR.
• Encouraged since Civil Procedure Rules 1999.
• Can resolve any dispute, no matter money or matter.

Question 2

Why is it informal/formal?

Answer 2

Informal:
-Can be individuals face to face such as a refund.
- Can be virtual through email.

Formal:
- Asking solicitors to act on behalf of parties negotiating case.

Question 3

When does it take place?

Answer 3

• Anytime during a case, before legal proceedings or before final trial.
• Many settle at door of court due to legal costs and risk of loss.
• Tactics play a part due to financial position.
• 95% cases resolved this way.