In Alternative Dispute Resolution, what is mediation?

• A. A third party finds a solution
• B. Binding contract, the decision must be accepted
• C. Fact findings looks at one part against the other
• D. Parties reach an agreement through negotiation

Answer: (A)

Mediation is a process where a neutral mediator helps the disputing parties communicate and explore options to reach a voluntary, mutually acceptable agreement. The mediator does not decide or impose a solution; the settlement, if any, is created by the parties themselves and becomes binding only if they formalize it in a contract. This nonbinding, facilitator-led approach contrasts with arbitration, where a third party issues a binding decision, and with unassisted negotiation, which lacks the structured facilitation mediation provides.