Legal Corner: What is the difference between mediation and arbitration?

LAKE CHARLES, La. (KPLC) - Legal Corner answers viewers’ civil legal questions.

QUESTION: I have heard of mediation and arbitration, and they seem to be the same or similar. Are they the same, and if they aren’t the same, what are the differences?

ANSWER: Arbitration and mediation are alternatives to traditional litigation. When two opposing parties come to a head, arbitration or mediation can be used to find a solution without the expense and hassle of litigation. Both involve a neutral third party who oversees the process and tries to help participants find common ground during a dispute.

Mediation and arbitration can help parties solve serious conflicts without the expense and hassle of litigation.

In a mediation, a neutral, trained mediator works to help disputants come to a consensus on their own. The mediator is not the decision-maker and does not resolve the dispute — but rather facilitates communication so the parties can reach a resolution that works for both of them.

In arbitration, a neutral, trained arbitrator serves as a judge who is responsible for resolving the dispute. Arbitration — which can be either a binding or nonbinding process — is when an arbitrator, rather than a judge or jury, applies the law to the facts of the case at hand and offers a solution or award. Binding arbitration means that the parties waive their right to a trial and agree to accept the arbitrator’s decision as final. According to the American Bar Association (ABA), when arbitration is binding, the decision can be enforced by a court, and can only be appealed on very narrow grounds. Nonbinding arbitration means that the parties can request a trial if they do not accept the arbitrator’s decision.

Mediation allows parties to reach a collaborative settlement, but it could end in impasse. Arbitration, on the other hand, can wrap up a dispute conclusively, but it does not give disputants much say in the outcome.

QUESTION: I need to file a lawsuit, but I do not have a lot of money to hire a lawyer and to actually file it. What, if anything can I do?

ANSWER: Depending on an individual’s income, he may qualify for either a pro bono or reduced rate attorney.

Acadiana Legal Services is a non-profit law firm in Lake Charles that provides free (pro bono) legal aid in civil matters to economically disadvantaged persons living in the service area.

Southwest Louisiana Law Center, Inc. is a non-profit law firm in Lake Charles that provides legal assistance to people who do not qualify for free legal services, but cannot afford to pay the standard rate for representation.

With the in forma pauperis (“IFP”) affidavit one must state that he is unable to pay court costs upfront because of poverty and lack of means. To start a court case, one must pay filing fees and court costs. The filing fees cover administrative expenses and vary depending on the complexity of the case. Court costs include charges for service, court reporters, and copies which vary based on the case.

Filing the IFP affidavit does not guarantee approval. If the request is denied, then he ill need to pay the fees upfront.

The applicant must also attach an affidavit from a third person who knows his financial situation and believes that you are unable to pay the costs upfront.