Alternate Dispute Resolution Methods Clause Samples

The Alternate Dispute Resolution Methods clause establishes procedures for resolving disputes outside of traditional court litigation, such as through mediation or arbitration. Typically, this clause outlines the steps parties must take if a disagreement arises, specifying which methods are to be used, the order in which they are attempted, and any relevant timelines or governing bodies. Its core practical function is to provide a structured, often faster and less costly, approach to resolving conflicts, thereby minimizing disruption to the business relationship and reducing legal expenses.