What is the different between mediation and arbitration proceedings?
Arbitration is a procedure for settling disputes. As an example, the Bavarian Arbitration Act has for certain types of disputes (such as particular kinds of conflicts between neighbours) introduced the principle that an attempt at arbitration by a publicly appointed arbitration body is a prerequisite for having the dispute taken up by a court. The background to this arrangement is to lessen the case load of courts and bring about an early resolution of the conflict with the aid of some mechanism besides a court. Attorneys and notaries may assume the function of acting as an arbitration body. All in all, arbitration proceeds according to formal rules and constitutes a commendable way moving conflict resolution out of the courts but one that falls far short of the potential that mediation offers.