The term "Dispute resolution" is commonly used interchangeably with "Litigation," although they represent different approaches to resolving conflicts between two or more parties with divergent claims.
Litigation, as traditionally understood, involves dispute resolution, through the Courts, in accordance with the strict rules of procedure. Procedure, which was meant to stream-line litigation, has now evolved into a cumbersome baggage, more often delaying justice than aiding the same.
Litigation attorneys or counsels are responsible for managing all stages of the legal process, from pre-trial investigation, discovery, drafting of pleadings, seeking injunctions, trial, settlement and appeals. This process is formal and strictly bound by legal procedures, with a judge or jury, ultimately deciding the outcome. Litigation can be lengthy, expensive, and often unpredictable, making it an intense and resource-heavy method of dispute resolution.
On the other hand, the broader term "dispute resolution" encompasses a range of conflict resolution strategies, including those beyond the courtroom, designed to prevent losses, restore order and facilitate smoother and quick resolutions between disputing individuals, groups, or organizations. Dispute Resolution teams are crucial in ensuring that conflicts are resolved efficiently and fairly, whether they occur between individuals, businesses, communities, or even larger social groups. Dispute resolution teams, further with their expertise, are often crucial in fore-seeing a legal dispute, and advising accordingly, at the documentation stage itself, so as to, mitigate chances of future dispute and protect the rights of their client. These teams must devise strategies that consider the process’s entirety, including the time and costs involved, rather than acting impulsively. A well-planned dispute resolution process can help parties avoid unnecessary escalation, devise out of the box settlement terms amicable to both parties to dispute and encourage co-operation, negotiation, and, ultimately, a peaceful resolution.
While litigation is generally court-based, an important offshoot is "Alternative Dispute Resolution" (ADR), which has gained considerable prominence in recent years as an efficient and cost-effective alternative to the traditional legal system. ADR encompasses methods such as Arbitration, Mediation, Conciliation, in which the parties voluntarily agree to resolve their differences outside of court by appointing a neutral third party, who is an expert in the subject matter of dispute, to oversee and adjudicate the dispute. Another important category of ADR is Lok Adalat, which is being highly promoted by the judiciary, as well as the government. These methods have become increasingly popular as they offer a faster, more flexible, and confidential means of resolving disputes without resorting to the formalities and complexities of court litigation.
India, like many other countries, faces a staggering backlog of cases within its judicial system. With over 2.5 million cases pending in the High Courts and more than 27 million civil and criminal cases awaiting resolution in District Courts, the inefficiency of the judicial system is a pressing concern. The time it takes to conclude litigation, coupled with the financial burden it imposes on the parties involved, often makes it an unattractive option for dispute resolution. In this context, ADR has become a practical solution for parties seeking a speedier resolution to their conflicts. The flexibility and efficiency of ADR methods offer a viable alternative for those looking to avoid the protracted timelines associated with court litigation.
Further, though the top Courts have pioneered and promoted use of technology by mandating e-filings and virtual/hybrid hearings, with a view to achieve transparency as well as efficiency, however, at the grass root level, i.e. the district judiciary and magistrate courts, are still finding it difficult to come to terms with the technological advancements, either due to lack of infrastructure or training of the concerned court staff. This is not the case with arbitrations and/or mediations and/or conciliations, as the ADR system in the country is quite evolved and well-versed with usage of technology for conduct of proceedings.
Industry Challenges & Our Approach
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Arbitration, the most formal of the ADR methods, involves an impartial arbitrator who acts as a judge to review the evidence and resolve the dispute by making a binding decision. Read more