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The Litigation Side of Forensic Accounting Copyrighted 2001 D. Larry Crumbley, CPA, Cr.FA, CFD KPMG ... - page 130 / 275

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© D.L. Crumbley

Alternative Dispute Resolution

Mediation: appointment of an agreed-upon third party to facilitate settlement negotiations.

before or after suit is filed

parties control the outcome and all resolutions are voluntary.

Arbitration: parties submit the dispute for resolution to an agreed-upon arbitrator or panel.

rules less formal

faster and cheaper

can be binding or non-binding.

Example: Arthur Andersen and Andersen Consulting.

When testifying, remember arbitrator more sophisticated than the average juror.

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