Question

Ralph Richards has been attempting to solve a problem that his company has with a contract default by the Dutch government. He has tried conciliation, but the two parties could never find any common ground on which they could begin a fruitful negotiation for settlement. Which of the following is likely to be the course of action that both parties will try next?

A) Mediation
B) Arbitration
C) Litigation
D) Negotiation

Answer 1

The next course of action that both parties will likely try is arbitration.

Step-by-step explanation:

In this case, the next course of action that both parties will likely try is arbitration. Arbitration is a form of alternative dispute resolution where a neutral third party, known as the arbitrator, hears both sides of the case and makes a binding decision. It is often used when negotiations or conciliation have failed to reach a resolution.

Going through arbitration allows the parties to avoid the court system and have their dispute resolved more efficiently. The decision made by the arbitrator is typically final and legally binding, providing a resolution to the conflict between Ralph Richards' company and the Dutch government.