Applying ADR Strategies: Resolving Xander Inc. Conflict

1 ADR Application Applying ADR to Real Events Megan Cook Charter College BA4220 Managing Conflict: Dispute Resolution Professor Rob Walker 5/7/2023

2 ADR Application Scenario: Xander, Inc. orders a printer network system from CompuTrs & Co. The system works for the first 90 days without any issues. During the next 30 days, the system begins to malfunction. Xander, Inc. contacts CompuTrs & Co and, after several visits from the technician, finally requests removal of the equipment and a refund. CompuTrs & Co refuse to do either, citing a 90-day warranty period.

3 ADR Application When two parties’ conflict on an idea the most commonly used form on alternate dispute resolution would be to negotiate. Communicating each parties’ ideas, comments, and concerns should always be the first step to resolving disputes. Xander Inc, when first purchasing large manufacturing equipment should be familiar with the policies they have for returns and warranties. Questions that should be asked would be, what does my warranty cover and how long does my warranty last? After becoming familiar with these polices and the current above scenario occurs, my first step would be to negotiate terms for a win-win type situations for both parties involved. As Xander Inc, I would contact CompuTrs & Co. and let them know I am informed of their 90-day warranty policy and that since my first request of a removal and refund was denied if we could come up with another solution. I would put in a second request to have a technician come out again to diagnose the problem to get it up and running again, depending on the costs to fix it, would be the determining factor if Xander Inc. would ask for a partial reimbursement for the out-of-pocket expense to fix the machine. If both sides would settle upon an agreed amount to fix the machine, Xander Inc. in return, would continue doing business with CompuTrs & Co. with the promise to buy more machines in the next year. This negotiating side of ADR is aimed for a win-win solution. I believe this would be a great option for both parties to remain in control of what they are asking and giving. This keeps the conflict out of the courts and more money in both parties’ pockets as they act on good faith in business.

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4 ADR Application Contrast to the type of ADR used above, arbitration would be the next big step when negotiating is not effective, and there must be a win-lose conclusion. In arbitration, both parties give up their rights to control the outcome and have a legal binding to the outcome. When Xander Inc. reaches out to CompuTrs & Co. for several technicians to come fix their machine and there still isn’t a solution for the broken machinery or a solution from the negotiation tactics above, arbitration would be Xander’s next step. Xander Inc would turn to their legal representatives for further action on the matter. With evidence of communication, photographs, and documents they can decide if moving forward on the case would be a good idea. Some might even consider a mock trial to get preliminary results of the deciding factor. If Xander Inc. decides to move to a trial, they can set what compensation they will receive if awarded in trial. When all the proper documents have been prepared and filed, the court hearing can progress and both parties can present their evidence of the claims. Arbitration resolution would be best for this situation where Xander Inc. really wants to get an answer from CompuTrs & Co. and are tired of their negotiation tactics being shunned away. The machinery that was purchased was not cheap and is costing the business great deficits as it harms production value. Any step before arbitration should have negotiation or mediation resolution tactics tried first. Arbitration is a costly and lengthy process which results in one party getting on top of another. This practice of business can make other businesses not want to do business with you. This would also deter businesses to maintain good relationships when you try arbitration before negotiation.

5 ADR Application References Ramhold, J. (2018, May 7). Your 9 biggest warranty questions - answered . dealnews. Retrieved May 7, 2023, from https://www.dealnews.com/features/Your-Biggest-Warranty-Questions- Answered/1921928.html Schotter, A. (1978). The effects of precedent on arbitration: BINDING ARBITRATION IN CONSTANT-SUM CONFLICTS PRECEDENT AND THE INCIDENCE OF ARBITRATION IN CONSTANT SUM CONFLICTS SOME WELFARE ASPECTS OF PRECEDENT IN TWO PERSON CONSTANT-SUM CONFLICTS ARBITRATION IN NON-CONSTANT SUM CONFLICTS SOME WELFARE CONSIDERATIONS SELF- POLICING ARBITRATION SCHEMES PRECEDENT AND THE INCIDENCE OF ARBITRATION IN SELF-POLICING CORRELATED ARBITRATION SCHEMES SOME WELFARE CONSIDERATIONS-- THE PARADOX OF BETTER INFORMATION AN EXAMPLE CONCLUSION REFERENCES. The Journal of Conflict Resolution (Pre-1986), 22 (4), 659. Retrieved from https://www.proquest.com/scholarly- journals/effects-precedent-on-arbitration/docview/235830699/se-2 Staff, P. O. N. (2023, March 17). 10 hard-bargaining tactics & negotiation skills . PON. Retrieved May 7, 2023, from https://www.pon.harvard.edu/daily/batna/10-hardball-tactics- in-negotiation/

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