New York business owners and landowners alike run into disputes at times. Though these disputes are sometimes easily resolved, this is not always the case. For this reason, you should have dispute resolution methods in your arsenal.
The methods you use depend on the type of dispute you have. Thus, your first step is to examine that and decide how you want to move forward.
Arbitration versus litigation
The Balance looks at two potential dispute resolution methods: arbitration and litigation. Mediation is also an option, but it does not always work for moderate to severe disputes. If your dispute has to do with a large amount of assets, you also likely want to steer clear of mediation.
Arbitration falls somewhere between mediation and litigation. It has the freedom and wiggle room associated with mediation. But an arbitrator who oversees your case will hand down a legally binding decision like a judge. This provides more structure and stability for more moderate disputes.
Litigation is often best for severe disputes, or ones that involve high assets. In this, you present your case in court. The judge presiding over it will decide what to do about your dispute. The decision they hand down is legally binding. This takes having to debate and discuss to reach a conclusion out of your hands.
Knowing what you want from dispute resolution
Mediation has the highest chance of saving business ties. Litigation has the highest chance of burning bridges. Arbitration falls somewhere in the middle. You must decide what is most important to you in this dispute. Would you rather preserve your business relation? Would you rather secure your assets? From there, the choice is up to you.