SODR is an end-to-end dispute resolution system that produces quick, fair, practical, cost-effective, legally enforceable outcomes. It’s exceptionally appropriate for most types of dispute – from family conflict to large and complex commercial matters.

 

SODR combines the most effective features of: (skilled) Facilitation and Mediation with (legally binding) Adjudication / Determination, in a 3-phase process, comprising:

 

(1) Facilitation > (2) Binding Determination > (3) Independent Decision

Phase #1 Facilitation. Facilitator guides a proactive, tailored, interactive process to help the Parties develop and negotiate a great solution for their issues, problems, or disputes.

Objective: a willing agreement (contract) to resolve the dispute, in writing.

Comment: This phase operates like a form of Mediation on steroids.

Phase #2 Enforceable Determination. If the parties can’t, or won’t negotiate to an agreement, the Facilitator makes an enforceable Determination, in writing, based on everything they’ve learnt through the Phase #1 process. If they need more extra information or evidence to make a responsible determination, they can demand it from the parties.

Objective: a legally binding determination to resolve the dispute, in writing, based on contractual authority provided in the engagement documents.

Phase #3 Independent Decision. if all Parties reject the Facilitator’s Determination, in writing, it becomes null and void and, unless all parties agree to change or terminate the process, the dispute is referred to a neutral, Independent Decision Maker (“IDM”) for a legally binding Decision.

Objective: the IDM’s written Decision is legally binding on the parties, as a formal Determination, based on contractual authority provided in the engagement documents.

Pros: Confidential, practical, quick, flexible, responsive, final, and very time/cost-efficient. Parties cannot bail out unless all agree. An outcome is assured.

All parties are legally bound by: (a) Facilitator’s Determination, or (b) IDM’s Decision to avoid any party being able to exit or otherwise wreck the process to prevent it achieving a legally binding conclusion.

Cons: Drive for a quick and final outcome may not be compatible with the need for a slower-paced, more sensitive and empathic process to preserve relationships.

All parties are legally bound by: (a) Facilitator’s Determination, or (b) IDM’s Decision and are required to delegate ultimate decision-making authority to them as the price of admission to the process.

Mediation vs SODR

We’re often asked how SODR compares with Mediation.

We say it’s a far better process, at least for the right parties – being anyone who really wants to get their dispute resolved, once and for all.

Where Mediation cannot guarantee a final outcome, SODR can.

SODR uses all the tools available to Mediation, in robustly proactive ways, in its attempts to guide parties to an agreed solution.

Only if that fails does the process become determinative. And that transition is automatic, under the Engagement Contract. The process then proceeds to a conclusion swiftly, as there’s no need to educate the ex-Facilitator, now the Determiner, into the facts of the matter.

Unlike Mediation, once started no individual can unilaterally abandon the process, or cause it to collapse by refusing to negotiate. If they do, the Facilitator transforms into a Determiner – empowered by the Engagement Contract to make a legally binding decision, using everything they’ve heard and learnt to do so.

The threat of this happening is usually enough to keep the parties at the negotiating table.

SODR vs (Expert) Determination

SODR is the most efficient and effective process available to any parties, for almost any conflict, where everyone genuinely wants to achieve an agreed, fair, and constructive outcome after having every reasonable opportunity, encouragement, and help to make their own decisions about what that outcome will be.

SODR can sustainably resolve almost every aspect of almost any dispute – from the deepest of family relationship tensions to the largest of financial disputes.

Determination (also called “Expert Determination”) is a more appropriate process when conflicted parties want to present their arguments to a neutral expert for an objective evaluation and judgement, rather than engage in a more personal negotiation process that requires their active participation.

Parties may call on legal, financial, and technical experts to present their arguments. resulting in less direct stress, and significantly higher costs.

Determination is better suited to the resolution of formal disputes over specific legal / financial / technical issues. In effect, the parties delegate the power of final decision-making to the Determiner.

By agreement, parties waive their right to appeal the final outcomes of both SODR and Determination processes. The whole point of these private processes being that the parties give it their best shot, once only, and accept the consequences.

Determination vs Arbitration and Litigation

All Determination processes involve assessments of claims and defences based on specific technical / legal / financial issues and/or information.

The Determiner makes a legally binding decision, like a judge, once satisfied they have a good enough understanding of sufficient reliable information to do so.

Our Determination processes are tightly tailored to the specific circumstances of the parties, their dispute, and their budget for getting the dispute resolved. Our process is transparent, and robust – to minimise the time, costs, and stresses involved.

Litigation through the courts is a form of institutionalised dispute resolution that carries all the delay, cost, emotional stress, and abandonment of self-determination that accompanies most institutional processes. According to the ABS, over 95% of legal disputes are resolved without a judicial decision, although often only after very substantial costs have been incurred by all parties.

We encourage sensible parties to avoid litigation – the costs are simply too high, especially when ongoing relationships are involved.

Do I not destroy my enemies when I make them my friends? – Abraham Lincoln