field from above with two paths converging to represent mediation vs arbitration

During the divorce process it’s common for couples to have conflicting perspectives on the likes of child arrangements, finances after separation, and the division of assets. Because these conversations can be emotionally-charged, with neither spouse wanting to concede their position, communication often breaks down entirely. When this happens, an already stressful situation can quickly appear to be beyond salvaging. 

If you find yourself in this position, it’s important not to reach for the panic button. No matter how complicated things seem to be right now, there are a number of useful strategies that can help both parties to find quicker, longer-lasting solutions. Many of them will be suitable for even the most complex divorce cases, including those with high net worth or international characteristics. Of these methods of Alternative Dispute Resolution (ADR), mediation and arbitration are two of the most effective in getting results.

If you’re new to the concept of ADR, there are subtle differences between the two that you need to be aware of. In this blog, we’ll simplify everything by examining what you can expect from both a mediator and arbitrator as we consider, what is the difference between mediation and arbitration?

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What is Mediation in Divorce Cases?

When spouses are struggling to reach agreements over crucial factors like child arrangements and finances, communication can become extremely strained. The longer these disputes last, the greater the chances that communication will break down entirely. Mediation aims to facilitate a more collaborative conversation by creating a neutral environment in which both sides feel comfortable discussing potentially difficult subjects.

Contrary to popular misconceptions, it’s not the mediator’s role to ‘step in’ when intervention is required. They don’t give legal advice or take one side against another. What they will do is give you and your partner the opportunity to work through any impasses and strive towards resolutions that work for everyone in the long-term. Anything you agree in mediation can then be included in the eventual settlement. 

The Advantages of Mediation in Divorce

Mediation is often so effective at opening channels of communication that it has become a staple feature of modern separations. In fact, family lawyers will almost always recommend this approach over legal action, as it’s generally a much quicker and cheaper way to resolve your differences than the courts. Not only can it lead to a more efficient divorce, but it can also lay the foundations for better communication in the future.

The full advantages of mediation in divorce include:

  • Discreet: Mediation is a confidential environment, so nothing you discuss will be known to the courts until you’ve both agreed to it. Understandably, this can be highly appealing to public figures. 
  • Empowering: Because the process is both voluntary and bespoke, you will get more control and flexibility.
  • Positive Foundation: If you share childcare duties, it will be important for you and your former spouse to cooperate positively in the years to come. Mediation can provide you with the skills to make future conversations much easier.
  • Calmer: The stress of divorce can sometimes bring out the worst in people. However, one of the biggest advantages of mediation is that it is usually much calmer than more contentious separation.
  • Cost-Effective: It’s generally much less expensive than going to court.

Although there are very few disadvantages to mediation, it might not be suitable for every relationship. If one or both parties is not committed to the process, the results could be limited. However, for many spouses, it represents an invaluable tool for overcoming significant issues.

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What is Arbitration in Divorce?

Arbitration is another flexible strategy for addressing intricate disputes without having to go to court. Your appointed arbitrator will listen to all sides carefully before making a final, binding decision. Although the setting is often more formal than mediation, it is still less daunting than a courtroom, and will offer you a greater degree of control over proceedings.

You will use the same arbitrator from beginning-to-end, and they will give you input into certain aspects of the process. These often include the choice of virtual or in-person meetings, the venue, and which aspects of the divorce you want to discuss. For example, if you have both come to an agreement about children but can’t agree on what happens to the family business, you shouldn’t need to factor childcare into your meetings.

What are the Advantages of Arbitration in Divorce?

There are numerous benefits of arbitration compared to the more formal alternative of the courts. Not only is it tailored to your circumstances but it’s often a quicker process. Additionally, because you can select the arbitrator, you’re free to find someone who puts you at ease and specialises in the type of dispute you’re working through.

The key advantages of arbitration in divorce include:

  • Tailored Approach: A bespoke process, it will be tailored to your unique circumstances. This means you can find someone to lead hearings who specialises in resolving your main areas of dispute.
  • More Control: You get to have a say in crucial features such as the choice of arbitrator and meeting schedule. This means that you can attend at times that suit your lifestyle.
  • Quicker: It’s much quicker than a typical court hearing.
  • Cheaper: The shorter timescales can quickly reduce costs.
  • Neutral: Your arbitrator will want to ensure that you both get a fair say, so will ensure that there’s a level playing field.
  • More Relaxed: Like mediation, it’s a more informal process that can put you at ease and reduce the emotional strain of divorce.

What is the Difference Between Mediation and Arbitration?

The biggest difference between mediation and arbitration is who makes the final decision. As we’ve learned, a mediator will guide you and your spouse towards an understanding, with any agreements made jointly being formalised in a consent order. An arbitrator’s responsibility is to hear both sides and make a binding decision for you.

There is, however, a large degree of overlap with the two processes. Both take place out of court and are entered into voluntarily. In fact, it’s not uncommon for more complex separations to use an integrated combination of the two to address more deeply-rooted issues. In practice this could mean using a mediator to resolve child arrangements before switching to arbitration to make agreements over the division of property, the family business, expected inheritance, etc. 

This combination of two different forms of ADR is sometimes referred to as Med/Arb. If you think that this, or other, forms of ADR might be useful, it’s advisable to ask your family lawyer for more details on how they work in practice. Understanding the difference between mediation and arbitration could quickly open up promising new avenues that could lead to huge benefits in the future.

Make Divorce Easier With Lowry Legal

The questions come thick and fast when you’re going through divorce. From what happens with children and money, to what is the difference between mediation and arbitration, there’s so much to resolve that you would be forgiven for finding it all overwhelming.

Lowry Legal’s mission is to be your guide at a challenging time. We make the divorce process as simple and stress-free as possible by tailoring our service to your needs and being totally open and transparent about your biggest challenges. Ultimately, your objectives are our objectives, so they’ll be right at the heart of our approach from beginning to end. 

Home to a leading mediator, we prioritise collaboration above all else. This ethos often ensures that even more complex high net worth cases can be resolved in a much shorter time frame. We also work with third-party experts like forensic accountants and tax professionals to offer a holistic service that gets results.

Contact our team today to learn more about how Lowry Legal can help you achieve the best possible result.