- Home
- Bankruptcy and Bankruptcy Code
- Business Entities
- Departmental Operations
- Credit Practices
- Collection Practices
- Legal Remedies
- Accounts Receivable; A/R; Accounts Receivable Administration
- Basic Collection Procedures
- Collection Agencies
- Collection Time Line; Scheduling Collection Follow Ups
- Debt Collection Tips; Collecting from Delinquent Customers
- Consumer vs. Commercial Collections
- Deduction Management; Deduction Write Off; The Deduction Management Process
- Documentary Collection Process, Documents against Payment; Documents Against Acceptance
- Documentary Collections Frequently Asked Questions
- Dunning Notices; Past Due Notices; Friendly Reminders
- Humor in Debt Collections
- Improving Collection Performance
- Monthly Statements; Monthly Customer Statements
- Negotiating With Delinquent Debtors
- Personal Visits; Advantages and Risks; Costs and Benefits
- Debtor Referral to a Collection Agency
- Telephone Collections, Telephone Tips; Collection Tips; Collection Tools
- Transferring Collection Assignments
- Partial Payments
- Skipped Invoices
- Alternative Dispute Resolution Options
- Partial Debt Forgiveness as a Debt Collection Tool
- Payment Plans; Extended Payment Plans
- Myths and Misconceptions about Business to Business Collections
- Understanding the Role of the Accounts Payable Department
- Using a Customer's Uncertainty as a Collection Tool
- When to Place an Account for Collection
- Selecting a Third Party Collection Agency
- Credit Holds
- Account Assignments
- Issuing a Final Demand
- Quality vs. Quantity of Collection Calls
- Confronting Delinquent Debtors
- International Debt Collection
- The Power Balance in Debt Collections
- Ten Truths about Business Collections
- Complete Text of the FDCPA
- Financial Analysis
- Financing Methods
- International Credit
- Laws and Regulations
- Payment Methods
- Performance Measures
- Security Instruments
- Career Management, and Job Change
- Credit Website Tools
- Upcoming Educational Events
- Credit and Collections Tools and Tips
- Tips on Creating Better Emails
- Generating Effective Credit Correspondence
- Exporting
- Accounting
Alternative Dispute Resolution Options
Alternative dispute resolution is intended to help parties resolve disputes short of litigation. The two forms of Alternative Dispute Resolution are [1] Mediation and [2] Arbitration. Both are intended to be used to avoid litigation and both can be used by trade creditors to resolve disputes with customers. Mediation is a dispute resolution technique in which a neutral third party tries to negotiate a resolution to a dispute between two parties. The mediator does not have the authority to impose his or her decision on the parties. A mediator does not issue a finding or ruliing. The other option is arbitration, which can be binding or non-binding.
An arbitration hearing is something like a trial. The arbitrator or arbitration panel will review written evidence and may hear from witnesses. Witnesses can even be cross-examined. After the hearing, the arbitrator[s] will issue a finding or an award. If the parties submit to binding arbitration, the disputing parties are bound by the decision of the arbitrator[s]. In non-binding arbitration, the parties can agree to accept the decision, or they can continue to pursue their respective positions by filing a lawsuit.
© 2010 by Michael C. Dennis. All Rights Reserved