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Explore the use of non-arbitration variations such as Divide and Choose techniques for resolving disputes. Understand the drawbacks of traditional arbitration methods and discover innovative approaches to encourage parties to make their own decisions. Learn how these techniques can be applied in business, personal, and commercial disputes. Join us for a comprehensive review session to enhance your understanding.
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Non-Arbitration Variations Class 1
Administration • Give quiz • Return quizzes at end • Collect critiques • Return critiques at end • Final Exam - Everybody needs to be sure which quizzes they missed • Final exam quiz strategy
Review • There are problems in the use of arbitration • FOA, Repeated Offer Selection and Cost-Formula Arbitration are all techniques designed to address those problems and there are others • But these all have problems of their own
Today • Why Non-Arbitration Variations • Divide and Choose techniques
I. Why Non-Arbitration Variations? • What do all the arbitration variations share? In terms of the three criteria? • Someone else makes the decision if the parties can’t • This fact impacts all of the prior negotiations • Is there a way to encourage the disputants to make their own decisions • Remove the third party entirely
II. Divide and Choose • Children’s variation • Trivial in case of single dimension • ice cream • Only one set of interests here and they overlap, more of the ice cream • Suppose there are two dimensions, vanilla and chocolate • Suppose there are even more dimensions? • What happens then? • What role do you prefer to play?
II. Divide and choose • The business dissolution problem • The issue • How can this be resolved using a divide and choose technique?
II. Divide and Choose • How can this technique be used in a marital dissolution situation? • Would you include child custody issues in the divide and choose procedure? Why or why not?
Next Time • Technique based on the strike but no one stops working
Non-Arbitration Variations Class 2
Administrative • Return quizzes • Return critiques • Reminder – final exam 9:00 AM, Monday May 12 • I have grade book with me today
Review • Divide and choose technique • Depends on problem having multiple dimensions so interests are not the same • Can be used to resolve some business and personal disputes
Today • Virtual Strike – Definition • Virtual Strike – Issues and Variations • A variation for commercial disputes • Auctions
I. Virtual Strike - Definition • Other names • Statutory Strike • Non-stoppage Strike • Similar in Concept to Cost-Formula Arbitration • Also similar to collective bargaining with strikes • Replace strike costs with financial costs • Example
II. Virtual Strikes – Issues and Variations • What happens to the extra money? • What happens if some employees don’t want to strike? • Can the percentage of wage cost be altered and by whom?
III. A Variation for Commercial Disputes • How could this be modified for a commercial dispute (e.g. one company claims another provided defective goods)? • Would companies be likely to agree to this? Why or why not?
IV. Auctions • What is the interest and what is the strategy of the bidder in an auction? • What is the interest and what is the strategy of the seller? • Is there a better way for both?
Next Time • Conclusions • Discussion of final exam