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Ways of settling a dispute that aim to avoid a court trial are known as:

  1. ADR
  2. ATM
  3. AGM
  4. APM
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Correct answer: A. ADR

1. The parties want to skip litigation. 2. Other routes to settlement exist. 3. Those routes are called ADR. _Source: OpenStax Business Law I Essentials 2e, Chapter 2, Disputes and Dispute Settlement._

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Which step is usually the first one tried in alternative dispute resolution?

  1. Naturalisation
  2. Negotiation
  3. Notarisation
  4. Nationalisation
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Correct answer: B. Negotiation

1. The parties can simply talk first. 2. No outsider is needed for that. 3. So negotiation comes first. _Source: OpenStax Business Law I Essentials 2e, Chapter 2, Disputes and Dispute Settlement._

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Negotiation is called the simplest form of ADR because it needs no:

  1. Outside parties
  2. Office papers
  3. Official permits
  4. Opening pleas
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Correct answer: A. Outside parties

1. Mediation needs a mediator. 2. Arbitration needs an arbitrator. 3. Negotiation needs neither. _Source: OpenStax Business Law I Essentials 2e, Chapter 2, Disputes and Dispute Settlement._

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