What Is a Sponsored ADR?

The ADR model has its own advantages: parties 'autonomy, ADR is carried out voluntarily on the basis of parties' negotiation. The rules of procedure are determined by both parties independently, and are not institutionalized or standardized like litigation; ADR procedures are fast, timely and low-cost; ADR procedures are benefit-oriented and focus on maximizing the fundamental interests of both parties. The direct involvement of management can not only add dispute settlement, but also be more likely to reach forward-looking agreements, and may even gain mutual understanding and enhance trust between the two parties through dispute settlement, laying a good foundation for new commercial transactions between the two parties. The basis of the agreement; the agreements and resolutions reached through the ADR are not legally binding.

ADR mode

Right!

The ADR model has its own advantages: parties 'autonomy, ADR is carried out voluntarily on the basis of parties' negotiation. The rules of procedure are determined by both parties independently and are not institutionalized or standardized like litigation; ADR procedures are fast, timely and low-cost; ADR procedures are benefit-oriented and focus on maximizing the fundamental interests of both parties. The direct involvement of management can not only add dispute settlement, but also be more likely to reach forward-looking agreements, and may even gain mutual understanding and enhance trust between the two parties through dispute settlement, laying a good foundation for new commercial transactions between the two parties. The basis of the agreement; the agreements and resolutions reached through the ADR are not legally binding.

Alternative Dispute Resolution, or ADR for short, is more accurately translated into Chinese as "alternative dispute resolution."

The traditional ADR usually refers to the general term of various dispute settlement methods except litigation and arbitration, such as negotiation, negotiation, good offices, mediation, etc. In other words, ADR replaces a general term for various dispute resolution methods other than litigation. ADR originated from the United States, and then became popular in continental Europe and Japan, South Korea, Australia and other countries. However, with the arbitration being widely incorporated into the arbitration laws of various countries, and the "Convention on the Recognition and Enforcement of Foreign Arbitral Awards" formulated by the United Nations after the Second World War, the method of arbitration dispute settlement has gradually become an independent procedure for dispute settlement outside the jurisdiction. Therefore, the more accurate definition of ADR is: ADR has replaced various methods of dispute resolution in addition to judicial litigation and arbitration. It is a voluntary dispute settlement method reached between the parties; the dispute settlement plan reached through the ADR has no legally enforceable effect; the ADR can be applied alone or in litigation and arbitration procedures.