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Examination Timing: 00H01M49S

Alice is the claimant in a dispute regarding the quality of goods supplied by Bob, a local manufacturer. Alice has initiated litigation, but both parties are interested in exploring alternative dispute resolution (ADR) methods to avoid the high costs of a trial. They are considering mediation as a potential solution. 


Which of the following statements best describes the nature of mediation?

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Mediation is a form of alternative dispute resolution where a neutral third party, the mediator, facilitates communication between the disputing parties to help them reach a voluntary and mutually acceptable resolution. Unlike arbitration, mediation is non-binding, meaning the mediator does not impose a solution; instead, the parties retain control over the outcome. 


Key Point: Mediation is a non-binding ADR process aimed at helping parties reach a mutually agreeable solution with the assistance of a neutral third party. It emphasizes voluntary agreement and maintains party autonomy.

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