Is this a good enough response,
Although both dispute resolution methods; mediation and arbitration differ in that the role of the third party in mediation is to facilitate discussion without providing possible solutions; whereas the role of the third party in arbitration is to make a legally binding decision. The outcomes of mediation and arbitration also contrast between one another, as decisions made in arbitration by the third party are legally binding, whereas decisions reached between the two parties in mediation are not, unless a contract is signed. Furthermore, mediation often produces a win-win solution, where both parties have been able to reach some form of compromise and have felt as though they have in a way ‘won’; whereas arbitration often results in a win-lose solution, as a decision is made in favour of one of the parties, leaving the other party feeling as though they have ‘lost’. One example of when arbitration may be used is for claims less than $10,000 at the Magistrates Court, as the dispute is automatically referred to arbitration. One example of when mediation may be used is throughout the civil pre-trial stages. The Supreme Court especially refers cases to mediation to be resolved before the case is heard in court.