Why is negotiation an important part of ADR?
As part of a formal ADR process, or informally, negotiation reportedly settles 90-95% of cases long before they get to trial. An increasing number of agreements now require parties to negotiate before litigating. In these agreements, litigation can only proceed after a good-faith attempt to negotiate a settlement. Parties that negotiate at the beginning of a dispute are usually successful, and their costs are usually much lower than with litigation.