Oregon Construction Contractors (CCB) Practice Test

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In which dispute resolution process do the parties set forth their agreement conditions with help from a mediator?

  1. Arbitration

  2. Negligence

  3. Mediation

  4. Litigation

The correct answer is: Mediation

In the mediation process, parties involved in a dispute work collaboratively with a mediator to negotiate terms and conditions of their agreement. The mediator facilitates communication, helping both parties express their viewpoints and interests, which can lead to a mutually agreeable resolution. Unlike arbitration, where a third party makes a binding decision, mediation focuses on helping the parties reach their own agreement, allowing for flexibility and control over the outcome. This process is particularly valuable in construction disputes, as it can help preserve relationships and efficiently resolve conflicts before escalating to more formal procedures like litigation.