Litigation
Litigation is the traditional form of dispute resolution, based on taking action through the courts. A judge sits and listens to argument on the interpretation of the relevant law as applied to the particular dispute and then makes a decision as to who wins and who loses.
The main point about litigation is that the courts are concerned primarily with applying 'public policy' and adhering strictly to the law of the land, down to the finest detail. Unlike with many non-court dispute resolution methods, a judge normally has little flexibility to consider what might be 'fair treatment' between the parties.
Advantages of Litigation:
- the process is open, transparent and public
- it is based on the strict, uniform compliance with the law of the land
- resolution is final and binding (subject possibly to appeal to a higher court)
Disadvantages of Litigation:
- the process involves imposing a solution, rather than the parties seeking to reach consensus themselves
- the process is formal and usually inflexible
- the public nature of the process might cause some embarrassment to parties if certain facts about them are disclosed or publicised
- the result can usually only be an outright winner and an outright loser
- it can take a long time before a court gets round to hearing a case after the original dispute occurred and proceedings have started- often several months to a year
- court action can be expensive, involving the hiring of solicitors and often barristers.
- For some cases, the cost to each party can exceed the amount in dispute.
- the form of redress or solution to the dispute is normally quite limited compared to what can be agreed in a non-court method - often just financial damages and award of costs.
Last Updated: 28 March 2009