Alternative Dispute Resolution, commonly referred to as ADR, refers to measures to help settle disputes outside the classical judicial system, i.e. without going to the courts in Thailand. Mediation and arbitration are the most common forms of alternative dispute resolution, while conciliation is another dispute resolution procedure which is also practiced in Thailand. Thailand is one of the countries which enforce ADR as a form of dispute resolution.
Alternative Dispute Resolution continues to play an increasingly important role in Thailand. It just might offer a faster and more predictable resolution than the local state courts. There is special legislation regarding ADR in Thailand, e.g. the Arbitration Act B.E.2530 (1987), the Arbitration Rules of Arbitration Institute, Ministry of Justice Conciliation Rules of Arbitration Institute, The Court of Justice Regulations Pertaining to Mediation of Financial Dispute of B.E. 2544 (2001), The Court of Justice Regulations Pertaining to Mediation of B.E. 2544 (2001).
Generally speaking, Alternative Dispute Resolution is very attractive for a couple of reasons:
Mediation, roughly speaking, means settling a dispute by negotiation. Mediation can be attempted in almost all cases.
In arbitration, a dispute will be decided by an arbitrator or arbitral body agreed upon by the parties. The costs for arbitration might be considerable, but arbitration can still be highly advisable at least for corporate parties.
Another method of ADR is Conciliation. The process of conciliation is similar to mediation, however, in mediation, the mediator is a neutral third party, while in conciliation, the conciliator is an active party. The main point of conciliation is to make both parties realize what they want to achieve and how they would like to conclude the dispute. Section 22 of the Thai Labor Protection Law outlines and states the procedure of conciliation.
Some lawyers at Juslaws & Consult specialize in Arbitration, and others are skilful mediators. We believe that in the future Alternative Dispute Resolution will become an even more important alternative to state courts in Thailand. We have much expertise in drafting Alternative Dispute Resolution related contract clauses, and we can help you to decide if this is the appropriate dispute resolution mechanism for your case. Please feel free to contact Juslaws & Consult for more information.