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Introduction to Dispute Resolution Studies -Recommendations for Alternative Dispute Resolution (ADR)-

2020.09.03


Shinichiro Toyama
Professor, Chuo Law School, Member of Daiichi Tokyo Bar Association
Areas of Specialization: Corporate Compliance, Labor Law, Insolvency Proceeding Law, Financial Legal Affairs, Antitrust Law, Alternative Dispute Resolution (ADR)

1. The two greatest stresses in life

Illness and disputes are said to be the two greatest stresses in our daily lives. In many cases, we must survive life while seeking to resolve a series of disputes with other people.

2. Negotiation, ADR, and civil procedure

Just as medical treatment is the answer to illness, civil procedure is the ultimate solution to disputes. However, it is extremely unrealistic to bring to court all of the various disputes arising in daily life. Meanwhile, the solution of conducting negotiation between parties to the dispute is also subject to various limitations such as the disparity in negotiation power between the parties.

Therefore, Japan has prepared an extensive lineup of convenient and effective dispute resolution systems called Alternative Dispute Resolution (ADR), which is different from civil procedure. However, ADR is not well known to the public and it is underutilized in society--this is a true waste.

3. Starting from the definition of ADR

Article 1 of the Act on Promotion of Use of Alternative Dispute Resolution (ADR Act) by the Minister of Justice which stipulates the certification system for extrajudicial dispute resolution procedures defines alternative dispute resolution procedures as follows:
 
(1) procedures for resolution of a civil dispute
(2) between parties who seek a resolution
(3) with the involvement of a fair third party,
(4) without using litigation

Therefore, operating organizations of fair third parties involved in resolution procedures can be classified into three main types: courts (judicial ADR), administrative bodies (administrative ADR), and private organizations such as bar associations (private ADR).

Furthermore, procedures for resolution include mediation, conciliation, and arbitration.

4. Chronology of ADR

I created a table which roughly shows the history of ADR in Japan over a nearly 150-year period. In the table, the three classifications mentioned above are on the horizontal axis, while the Meiji Period, Taisho Period, Showa Period (during and after the World War Two), Heisei Period, and Reiwa Period are on the vertical axis.

5. List of ADR by dispute field

One example of ADR institutions that resolve general civil disputes are arbitration centers of bar associations. Each of the other many ADR institutions also have their own fields of dispute resolution.

The following is a rough list by dispute field.

6. Enhanced fields of ADR

Characteristics of certain fields for which ADR is widely available include enhancement of the financial base (money), enhancement of human resources/training system (people), as well as enhancement of competition and coexistence among ADR.

As an example, when charting the enhanced competition and coexistence among ADR in the field of transportation civil liability as shown below, we can see that the situation is extremely convenient for users.

(Reference Literature)
1. Shinichiro Toyama, Overview of Alternative Dispute Resolution (ADR) Organizations, Chuo Law Journal Vol. 7, Issue 3
2. Japan Federation of Bar Associations, ADR Center Series No. 2, Traffic Accident Damage Compensation and ADR, Koubundou Publishers, January 2010
3. Shinichiro Toyama, Resolution of Individual Labor Disputes, Chuo Law Journal Vo. 5, Issue 4
4. ADR Data Book, Daiichi Tokyo Bar Association, January 2001

(Chuo Online: List of articles by Shinichiro Toyama)
・Determining an Algorithm for Compliance Aimed at Increasing Corporate Value
https://yab.yomiuri.co.jp/adv/chuo/dy/research/20190411.php
・Staircase to Adulthood -Consideration to the Issue of the Lowering of Age of Majority (Article 4 of the Civil Code)-
https://yab.yomiuri.co.jp/adv/chuo/dy/research/20180719.html
・How to Survive in a Contractual Society -The Great Heisei Civil Code Reform (Credits-Related Civil Code Amendments)-
https://yab.yomiuri.co.jp/adv/chuo/dy/research/20180322.html
・Happiness Equation for Workers -From the Perspective of Compliance for Increasing Corporate Value-
https://yab.yomiuri.co.jp/adv/chuo/dy/research/20170622.html
・Scenes from Law School and Business School
https://yab.yomiuri.co.jp/adv/chuo/dy/education/20150129.html
・The Two Basic Laws of Life -Family Law and Labor Law-
https://yab.yomiuri.co.jp/adv/chuo/dy/opinion/20130401.html
Shinichiro Toyama
Professor, Chuo Law School, Member of Daiichi Tokyo Bar Association
Areas of Specialization: Corporate Compliance, Labor Law, Insolvency Proceeding Law, Financial Legal Affairs, Antitrust Law, Alternative Dispute Resolution (ADR)

After graduating from the Department of Law in the Chuo University Faculty of Law in 1975, Shinichiro Toyama became a Specially Appointed Professor in the Chuo Law School in 2004. He has served as Professor in the Chuo Law School since 2014.
He is a member of the Advisory Board in the Chuo Graduate School of Strategic Management.
 

His major public positions include a member of a special committee of the Dispute Reconciliation Committee for Nuclear Damage Compensation of the Ministry of Education, Culture, Sports, Science and Technology; a member of a special committee of the Dispute Reconciliation Committee of Construction Work of the Ministry of Land, Infrastructure, Transport and Tourism; a dispute resolution member in the Dispute Reconciliation Committee for Housing of the Daiichi Tokyo Bar Association; a member of the Civil Conciliation Commissioners of the Supreme Court of Japan; a member of the Civil Rehabilitation Committee and the Individual Rehabilitation Committee of the Tokyo District Court; a director of the Japan Center for Settlement of Traffic Accident Disputes; (former) an assistant director of the Nichibenren Traffic Accident Consultation Center; a medical ADR arbitrator for the Tokyo San Bengoshikai and more.
 

His main publications and articles include Antitrust Law Useful for Daily Living, The World of Traffic Accident Civil Liability: Theory and Practice, Resolution of Individual Labor Disputes, Child Welfare and Joint Custody, JA Compliance: Creating a System for Preventing Misconduct, Construction Process Theory of the Model for a Compliance System Aimed at Increasing Corporate Value (Introduction) and more.