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Most firms find arbitration and mediation clauses to be superior to litigation, which tends to be more costly and take longer. Of course, the potential litigant faces the same issue, so most people think carefully before suing.
Arbitration is binding through conclusion. An agreement to mediate does not force binding resolution, but has a high success rate and has the advantage of being less adversarial than arbitration, which tends to encourage reasonable settlements with less bitterness.
1. Which one do you feel is a better form of concluding a court process?
Which is the following represents the most effective corporate governance mechanism?
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