How do you resolve and settle a commercial employment dispute? While people commonly mistake the fact that suing the other party is the only way to resolve cases involving intellectual property and contractual disputes, it shouldnand#39;t always arrive at that.

But regardless of whether the case involves complex civil litigation or commercial litigation settlement, you will find other options for resolving it. With contract disputes, though, there will be more framework and structure since the conflict occurs within the boundaries of what was agreed upon previously, as can be found written in the contract.

But, before we get into the various solutions for commercial employment disputes, letand#39;s take a quick look at what causes these types of issues.

Causes of Commercial Disputes

The contracts involved in commercial business and employment are necessary to ensure that the agreements set forth in it will be followed by all the parties involved. And while it may not always be essential when you are dealing with friends, a contract is necessary for business agreements.

However, when certain circumstances change or the terms previously thought by the parties to be clear become vague, it increases the chance for contracts to get broken or breached. And when this happens, a contract dispute will most likely occur. The breach of contract may be unintentional, but in most cases, it is always intentional.

How to Resolve Commercial Employment Disputes

Here are the four alternatives for resolving a commercial employment dispute:

Conventional Litigation

You probably already know that litigation is the most common yet stressful method of resolving a dispute. In traditional litigation, the goal of each party is to find fault with the other. Plus, there is also no confidentiality with this dispute resolution.

However, some people still end up going through this route even though itand#39;s time-consuming and more costly. Most of the time, people prefer this method, especially when they feel that the other alternatives will not be able to help in resolving the dispute.


Another alternative dispute resolution that can help you settle an employment dispute peacefully is mediation. In this process, though, both parties must voluntarily participate.

By definition, mediation doesnand#39;t entail forcing or coercing anyone to agree. However, in order for the conflict to be resolved, the conditions and demands of each party must be agreed upon.

Typically a retired attorney or judge, the mediator serves as a neutral third party who assists in the resolution process. As part of the mediatorand#39;s role, he or she is expected to have the capability of articulating the positions and statements provided by the parties. As a result, it is imperative for the mediator to be incredibly experienced in the industry in which both parties operate.

Also, keep in mind that in mediation, you can be comfortable knowing that all data will be treated confidentially. Even the process of mediation itself can be concealed from those who are not part of the dispute.


A stricter and more formalized form of mediation, arbitration entails the same process. But the biggest distinction can be seen at the end – where the decision issued by the arbitrator becomes legally binding for the parties.

When the complainant sends a notification to the other party regarding the arbitration, it usually signals the start of this method. The notice states the premise of their conflict, as well as their written intent to resolve the dispute through arbitration. An arbitrator and the venue for the hearing will be chosen as soon as the other party responds.

Although it appears to be similar to litigation, arbitration is less formal. Additionally, the final decision for arbitration is usually reached more quickly.

Moreover, arbitration is less expensive and takes less time than litigation because the final ruling is issued faster. However, the procedure is nearly identical, albeit simplified with the arbitration. Witnesses are summoned, evidence is presented, and arguments are advanced.

Resolve Employment Disputes Using the Most Effective Method

The methods mentioned above can help you resolve employment disputes with ease. Depending on the various beliefs and personalities of the involved parties, you can choose the best approach to reach an agreement regarding your issue. And if you need assistance in reaching a decision on the method to use, you can seek the advice of experts like A.J. Krouse, who has extensive experience providing dispute solutions.