When your business enters into a contract, the last thing you are thinking about is likely what will happen if the other side doesn't live up to its side of the deal? Or worse, what happens if they accuse you of not living up to yours?
Resolving contract disputes in Texas can be achieved through a lot of different ways. Which one is most likely to result in the best outcome in your case depends on the circumstances. No two cases are ever exactly alike, which is why it's always advisable to consult with an attorney with experience in the methods available.
Taking the matter to court may seem like the best way to achieve a sense of righteous satisfaction. But it can take precious time and be an expensive proposition. There's also the chance that in the end, the court will fail to see things quite as you do, leaving you with an undesirable result.
In business, time is of the essence. The sooner you can get disagreements taken care of, the sooner you can get operations back on track. And this may be where alternative dispute resolution may prove to be most beneficial.
ADR can take several forms. Direct negotiation may be the most fundamental. Presuming that there are those on both sides of a dispute who feel they can work together to reach terms, it is often the quickest and least expensive path.
If there's tension in the air that might create a fog, mediation might be a way to clear the air. This is a voluntary course that involves bringing in a third party acceptable to both sides who can help thoroughly explore the issues. The mediator can also work with each side separately to find possible bridges to close gaps.
Arbitration can be required as a contract provision. It provides the parties with a bit more control over the process. The arbitration requirement might be challengeable in the courts, however. If arbitration is used, decisions tend to be final.
In the end, the right road to resolution depends on what will serve your firm's best interest.