Lawsuits involving business disputes can be ugly beasts – long, drawn-out, time-consuming, stressful and costly court battles that leave one or both parties feeling less than pleased with the outcome.

But mediation and arbitration, forms of alternative dispute resolution, are now being used more frequently in these matters, not only saving plaintiffs and defendants time and money, but also easing backlogged court dockets. Those in the legal field expect a continued increase in the use of these processes.

“That’s what businesses like,” said Scott Long, an attorney with Brown, Winick, Graves, Gross, Baskerville and Schoenebaum P.L.C. “They want to know what the resolution is quicker and they want to do it as efficiently and economically as possible.”

In arbitration, rather than having the case decided by a judge or jury, a neutral, independent arbitrator or panel of arbitrators, often experts in the particular field, issues a final, binding decision. Arbitration emerged in business litigation in the 1980s and its use continues to rise, particularly because of increased inclusion of mandatory arbitration provisions in contracts. Such provisions are most commonly seen in franchise, construction and securities contracts and in insurance policies, largely because of the number of cases seen in those industries, as well as the complexity of the issues that can arise.

“There’s a learning curve for any judge or jury to decide these cases,” said Michael Dee, another attorney with the Brown Winick firm. “So I think the businesses in those industries have decided they’re better off with panels of experts than they are with judges and juries.”

Mediation is a voluntary process in which a facilitator assists in negotiating a settlement between the parties. Unlike arbitration, the parties retain their right to take the case to trial if the mediation fails, though attorneys and mediators say up to 95 percent of cases are settled out of court. It is the most rapidly growing form of alternative dispute resolution and is being used more frequently in business disputes.

Peter Gartelos spent 35 years as a trial attorney in Waterloo before he became a mediator about nine years ago. He spends four days a week on the road and has mediated about 1,400 cases. Initially, almost all of his mediations involved personal-injury cases. Now, about one-third are business disputes, and he said that number will grow as mediation becomes a bigger part of the country’s civil judicial system.

“In my opinion, the process has, can and will continue to save the litigation industry millions of dollars,” he said. “Litigation is an ugly fight. Mediation is the exact opposite.”

Fewer business disputes are making into the courtroom, Gartelos added, easing the strain on the system. “It’s loosening up the courts. Ten to 15 years ago, the courts were so flooded you couldn’t get a case to litigation.”

Larry McLellan, an attorney for Sullivan & Ward P.C. and also a trained mediator, said arbitration and mediation provide quicker resolutions that often save both parties the stress of a drawn-out dispute. One client called him the day after her mediation, which produced a settlement, and said she had been able to sleep for the first time in six months.

“It greatly helps both parties get on with their lives and their business,” he said.

Mediations tends to be a sharp contrast from hotly disputed courtroom trials, which is one of the primary reasons both new and experienced lawyers want to become mediators themselves. Drake University law professor Andrea Charlow said more law students look at litigation and say, “This is ugly. I’d rather be a mediator and help people reach a decision.” Drake’s law school recently established a mediation clinic for students to learn how about mediations from both an attorney’s and a mediator’s standpoint.

A greater number of experienced attorneys are seeking out mediator training, though McLellan, who is working toward a master’s degree in law dispute resolution, questions the availability of courses dedicated to training attorneys in how to better represent clients in mediation.

The increased popularity of mediation in a variety of civil disputes is driving up demand for mediators. But Gartelos said not everyone can or should be a mediator. To be effective, he said, a mediator must be patient, stubborn and a good listener, and have sufficient experience to be credible.

“You need to be kicked around the courtroom for a good many years,” he said.