The difference between mediation and arbitration

Trish Du Pre Le Roux has extensive experience in a multitude of litigation matters in the High Court, Magistrates’ Courts in areas such as labour law, commercial law as well as family law matters.

Arbitration is defined as a legal technique where the resolution of disputes is resolved outside the courts and the arbitrator takes the evidence into consideration and makes a decision based on the set of facts presented.

Mediation is the process where negotiation is assisted by a neutral third party. One of the primary reasons mediation is preferred is that the parties involved do not reach a resolution unless all sides agree.  

Illustrative examples of where arbitration could take place in both the private and public sector. The arbitrator could be a senior lawyer or retired professional and both parties are given an equal opportunity to present their side to the arbitrator.

Mediation predominantly occurs when the mediator is required to go back and forth between the parties and will then enter into a written settlement agreement.  

The distinctive difference between mediation and arbitration is that arbitration is less formal, whereas the mediation process is assisted by a neutral third party. An important aspect to consider is that mediators do not find fault or make determinations, instead their purpose is to assist parties in reaching a settlement through communication channels.

Get in touch with Trish De Pre Le Roux to understand the difference between mediation and arbitration.