Los Angeles Claims Adjuster Property and Causality Practice Exam

Which of the following is NOT a form of resolving disputes outside traditional judicial processes?

1. Negotiation

2. Mediation

3. Litigation

4. Arbitration

The correct answer is: Litigation

Litigation is considered a traditional judicial process, as it involves resolving disputes through the court system and typically follows formal legal procedures. This process is overseen by a judge and, in some cases, a jury, and it entails a more rigid structure involving rules of evidence and procedural requirements. In contrast, negotiation, mediation, and arbitration are forms of alternative dispute resolution (ADR). Negotiation is a process where parties discuss their issues directly to reach a mutually acceptable agreement. Mediation involves a neutral third party who facilitates communication between disputing parties to help them find a resolution. Arbitration also employs an impartial third party to render a decision on the dispute, but this decision is usually binding. By identifying litigation as the option that does not fit within the realm of alternative dispute resolution, it highlights the distinction between formal court-based resolutions and more informal, flexible methods aimed at settling disputes outside of the courtroom.