Mediate or else! [alternative dispute resolution]

The case of Dunnett v Railtrack has served as a timely reminder for parties to appreciate the value the courts attach to alternative dispute resolution (ADR). Ms. Dunnett lost the case but did not have to pay Railtrack´s costs because at the costs hearing it emerged that Railtrack had refused to take part in ADR when suggested by the court. The use of ADR is strongly encouraged by the courts as a means of settling cases early and therefore avoiding unnecessary expense and time which litigation would involve. In order for the parties and the courts to achieve early settlement, the parties are given ample opportunity during preparation for litigation to pursue ADR. If offers of ADR are not entertained, parties may well face uncomfortable consequences.