Informal resolution methods like arbitration avoid negotiation, while ADR encompasses negotiation, mediation, and arbitration for conflict resolution.
Arbitration is a type of third-party intervention that avoids negotiation and meetings between conflicting parties. In binding arbitration, both sides agree to abide by the decision of the arbitrator. Conversely, negotiation, mediation, and arbitration are part of Alternative Dispute Resolution (ADR), helping resolve conflicts with a neutral third party's aid.
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