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Why This Centre?
 

Changing the dispute resolution paradigm

For a considerable time now, so-called alternative forms of dispute resolution have been applied in the field of labour, family and, to a limited extent, commercial disputes. This includes mediation, arbitration and hybrid forms of mediation and arbitration, mini trials, early case evaluation and the like. However, litigation has remained the mainstream and principal mechanism for addressing disputes. Alternative forms of dispute resolution, e.g. mediation, mostly remain optional and tend to be used by only a few converts. A significant paradigm shift is required so that litigation becomes the alternative and no longer the primary means of resolving disputes. Ideally, disputing parties and their representatives, if their negotiations fail, should have recourse to other consensus-seeking procedures such as mediation to resolve their conflicts or disputes. Fortunately, the current climate is receptive for changes to the paradigm. There is a growing awareness in both the public and private sector in South Africa and internationally that disputes ought to be prevented or settled at an early stage. The reasons for this are not only economic and financial, but also ethical.

The need to reduce the costs of conflicts and disputes

Disputes left unattended can manifest in lost time for management and employees, the escalation of negative emotions (anger, frustration, disappointment) and conflict, resulting in under-performance and a drop in productivity, a destruction of previously productive business relationships, and, of course, high direct legal costs. These factors have cost implications and can significantly impact on a company's bottom line. CEOs and management have increasingly become aware that disputes left unattended will impact significantly on the company's bottom line, and that boards of directors and shareholders will no longer turn a blind eye to such avoidable excesses and waste. Ethical and governance concerns add to the need for better ways of resolving conflicts and disputes.

A new approach to dispute resolution

In the new paradigm a range of mechanisms is applied in a multi-tiered approach to prevent, manage and settle disputes. Litigation remains an essential part of the arsenal, but becomes the option to fall back on or the method of dealing with those disputes that cannot be settled through negotiation or mediation. 

 

 

'Discussion is an exchange of knowledge; argument is an exchange of ignorance' - Robert Quillen

 

 

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