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How does ADR work?
ADR
procedures can be applied to very easily and at quite reasonable prices: one of
the two parties refers to an ADR body declaring the will to settle the dispute
through extra-judicial procedures, providing all necessary documentation and the
economic quantification of the dispute. The ADR body contacts then the
counterpart inviting it to take part to the attempt of settling the dispute. If
both parties agree, service charges are paid, a conciliator (or arbitrator) is
named and the date for the initiation of proceeding is defined. If an agreement
is reached, the conciliator draws up a conciliation document that both parties
will have to subscribe. In case of no agreement, a document of failed
conciliation will be drawn up and parties will be free to bring the case before
the Court.
Beyond this form of conciliation, another common practice is also “parity
conciliation”, in which a Conciliation Commission is formed including a
representative of the Consumers Organization, on behalf of the consumer, and a
representative of the company/professional. In this case, there is no need for a
third party since the resolution of the dispute should be reached inter partes.
This kind of conciliation is very effective in disputes between consumers and
utility companies.
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