If you find yourself in a situation where you are dealing with a contractual dispute, you need to ensure that you take the right course of action. Understanding the options available to help you to resolve your contract dispute is the first step in preparing your case.
Contracts are used in many day-to-day transactions to ensure that both parties involved in the transaction uphold their end of the bargain. When the parties in a contract have conflicting ideas as to what the terms of the contract entail, a contractual dispute occurs. In this situation, one party will typically seek damages or specific performance from the other party. If, after examining the contract, you still cannot clarify the issue, further action may need to be taken. As with any legal matter, it is always wise to seek the advice of experienced contract lawyers in Melbourne to help guide you through the process.
Let’s take a look at three ways that you can resolve a contract dispute in Australia to get the best possible outcome from your case.
Begin With Informal Negotiation
The fastest, easiest and most cost-effective way to resolve a contractual dispute is via an informal negotiation. This involves the parties sitting down together to have a discussion about the issue at hand in an effort to find a solution to the problem. Negotiating a resolution in this way is best for everyone but it doesn’t always work out as well as planned. If you do reach a resolution, be sure to confirm any agreements you have made in a written document, signed by both parties.
Mediation And Arbitration
If the informal negotiation process is unsuccessful, the next avenue to go down is mediation or arbitration. This is the last chance for you and the other parties involved in the contractual dispute to reach an agreement without going to court. Reaching a resolution through mediation will be much cheaper and a lot faster than going through the court’s system.
An independent mediator will be assigned to your case to help manage the negotiation process. It’s important to be aware that mediation is not a legally binding process. However, the results that the mediation brings about can be enforced should both parties agree to do so. Arbitration, on the other hand, is more similar to a court hearing but is not as formal. During the arbitration, an independent third-party, the arbitrator, will determine the final outcome from the contractual dispute. They will consider the evidence put forth by all parties involved and then make a legally binding decision.
Deciding To Go To Court
For cases where informal negotiation, mediation or arbitration has not been successful, you might need to elevate the dispute further. At this stage, your next port of call will be the courts. Before you go to court, you need to consider how pursuing the case could damage your relationship with the other party and the costs associated with bringing your case to court. With that said, if you feel you have a good case and all other options have failed, then going to court could be your best option to find a resolution.
Get The Best Possible Result From Your Contractual Dispute Case
Going through a contractual dispute case is never easy. If you have been working closely with the other party or you know them personally, having a disagreement of this magnitude can be very damaging to your relationship. Understanding contractual disputes and the means you can explore to resolve these issues will help you to proceed with your case with more confidence and get the best possible result from your contractual dispute.
