negotiation procedure and types
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negotiation procedure and types
Negotiation
Introduction
Alternative dispute resolution (ADR), also known as external dispute resolution (EDR), is basically a method to resolve a dispute outside the court, i.e., without any interruption from the court. Negotiation is also a prominent method of ADR. When two or more parties have different interests and want to come to a mutually acceptable conclusion, they opt for negotiation as an ADR method.
Meaning
Negotiation comes from the Latin word ‘negotiari, ’ which means ‘to do business. ’ It is very common in India. You can see it when people haggle over prices at markets or when companies negotiate deals.
Negotiation is when two or more parties communicate to solve a problem or reach an agreement. They do this by discussing their needs and finding common interests. The goal is to explore possible solutions and make compromises that work for everyone involved.
Negotiation is important for several reasons. It helps preserve relationships by allowing people to work together instead of creating winners and losers, which builds trust for the future. It is also often cheaper than going to court. Legal battles take time, money, and emotional energy. Negotiation saves these resources while achieving desired results.
Additionally, negotiation encourages creative problem-solving. It allows participants to come up with new ideas and find solutions tailored to their needs. Finally, negotiation gives people control over the outcome, enabling them to shape agreements that reflect
their interests rather than relying on judges or arbitrators.
Characteristics of negotiation
1. Voluntary: Negotiation must be voluntary. No one should be pressured to negotiate. One party asks the other, and both must agree without force.
2. Bilateral/Multilateral: It can involve two or more parties, depending on the situation.
3. Non-adjudicative: Only the involved parties discuss the issue. There are no outside parties like judges or arbitrators.
4. Informal: Negotiation is informal, with no strict rules. The parties create their own guidelines.
5. Flexible: The parties decide when and where to meet, what to discuss, and how to approach it, allowing for tailored solutions.
negotiation procedure and types
Procedure of negotiation
Preparation: Before negotiations, parties should identify their best and worst alternatives and check if the other party is willing to resolve the issue.
Discussion: Set ground rules, including where and when to meet and the approach to take.
Clarification of Goals: Clarify goals and views to avoid misunderstandings.
Bargaining and Problem Solving: Share views, make adjustments, and find a solution everyone can accept.
Agreement: Create and sign the agreement once a solution is reached.
Implementation: Follow and implement the agreement’s terms.
Prepare Alternatives: Think of backup options if negotiations fail to ensure solutions are ready.
Types of negotiation
1. Distributive negotiation: In this type of negotiation, parties negotiate over one topic, which creates a win-lose situation for the parties due to which one party will get the advantage.
2.Integrative negotiation: In this, parties negotiate over many topics, which creates chances to get a win- win situation for the parties and mutual gain.
Team negotiation: In this type of negotiation, the parties negotiate in teams.
Multiparty negotiation: In whichever negotiation there are more than two parties, that negotiation becomes a multiparty negotiation.
In the case of Salem Advocate Bar Association v. Union of India, The Supreme Court of India upheld the constitutional validity of the amendments and emphasized the importance of ADR mechanisms in the Indian legal system. The Court recognized that negotiation, as part of ADR, plays a crucial role in resolving disputes amicably and efficiently. It highlighted that ADR processes, including negotiation, should be encouraged to reduce the pendency of cases in courts and provide parties with a quicker resolution.
The Court also provided guidelines for the effective implementation of ADR processes, ensuring that parties are informed about the benefits of negotiation and other ADR methods. It stressed the need for trainingmediators and arbitrators and creating awareness among litigants and lawyers about the advantages of ADR.
negotiation procedure and types
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negotiation procedure and types
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