Mediation, Conciliation and Arbitration - Legal Studies: Unit Two, Area of Study Two

The three methods which are used to resolve disputes which are learnt in this area of study are: 
  • Mediation
  • Conciliation
  • Arbitration

Initially, I found differentiating these methods to be quite difficult and confusing, as they are very similar to each other -- especially mediation and conciliation. However, with a little effort, I can now recall the differences quite well (if I do say so myself!). 

Mediation involves the parties of a dispute negotiating to reach an agreement. An independent third party will be present, who is referred to as a mediator. The mediator, who typically doesn't have specific legal expertise, will attempt to balance the parties while they debate.They will not make the decision for the parties. The resolution which is decided upon by the parties in mediation will typically become legally binding if it becomes a contract referred to as terms of  settlement. 

Similarly, in conciliation, an independent third party will also assist the parties in a dispute to come to a resolution. This third party is known as a conciliator, who typically has specific legal expertise. The conciliator doesn't make the decision for the parties, they will only suggest and recommend ways to resolve the dispute. The decision met in conciliation is not legally binding.

Lastly, arbitration is the most formal dispute resolution method and is the easiest to differentiate out of the three. The third party in this method is known as the arbitrator, who has specific legal expertise and has full control over the case. They will listen to the parties, who may have legal representation, and assist in them reaching an agreement. However, if the parties cannot come to a decision, the arbitrator will make a legally binding decision for the parties. This decision is referred to as an arbitral award. 

While I outlined the differences above, it would be reasonable if the lines between them were still fuzzy. Therefore, hopefully this table makes things more clear:

 Mediation
 Conciliation
 Arbitration
The third party is known as a mediator. 

The decision is made by the parties, not the third party. 

Mediators attempt to balance the parties in order for the parties to meet an appropriate decision themselves. 

Mediators don't need to have specific legal expertise. 

The resolution of a case which goes through mediation will typically becoming legally binding in a contract known as terms of settlement.  
The third party is known as a conciliator. 

The conciliator will recommend and suggest appropriate ways to resolve the dispute. 

The decision is made by the parties rather than the third party. The conciliator will only recommend solutions. 

Conciliators typically have specific legal expertise. 
 The third party is known as an arbitrator.

Arbitration is the most formal out of the three. 

The arbitrator has full control over the case.

In the event of the parties not being able to reach an agreement, the arbitrator will make a legally binding decision (arbitral award).

Arbitrators typically have specific legal expertise.  


The following video by ACAS  (Advisory, Conciliation and Arbitration Service) details the differences between the three dispute resolution methods quite well: 


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