Alternative Dispute Resolution (ADR)

A family of conflict resolution methods—mediation, arbitration, negotiation, collaborative law—that resolve disputes outside traditional litigation. ADR is typically faster, cheaper, less adversarial, and more flexible than court proceedings. The strategic insight: the best time to agree on a dispute resolution mechanism is before a dispute arises, when parties are still cooperative. Including ADR clauses in contracts and relationships changes the incentive structure around conflict.

When to use it

When facing strategic decisions under uncertainty; when multiple stakeholders have competing interests; when the stakes are high and reversibility is low.

How it can help

Provides frameworks for navigating competitive landscapes, allocating resources under uncertainty, and making high-stakes decisions with incomplete information.