Early Neutral Evaluation FAQ
You will find answers to many frequently asked questions below. If you do not find the answer to your question, please contact us and we would be happy to assist.
Early Neutral Evaluation FAQ
What is Early Neutral Evaluation?
Early Neutral Evaluation is a consensual, confidential, and relatively informal process in which parties to a dispute use the services of an independent, neutral Evaluator to provide a non-binding Evaluation of the facts, evidence, and legal merits of the matters in dispute.
The primary objective of Early Neutral Evaluation processes is to allow the parties to assess in an informed and accurate manner the strength of their case, or the potential outcome should the dispute proceed before the courts or to arbitration.
Although settlement is not the primary objective, the purpose of early neutral evaluation is to promote settlement discussions at an early stage in the litigation process, or at least to assist parties avoid the significant time and expense of further steps in the litigation of the dispute.
What are the advantages of Early Neutral Evaluation?
When should Early Neutral Evaluation be used as a dispute resolution process?
The process is specifically designed for disputes which are already in litigation or arbitration. Generally, all types of disputes are suitable for Early Neutral Evaluation provided that the parties and their representatives are committed to the prompt and cost effective resolution of the dispute and they are prepared and committed to participating in the process in good faith.
The Evaluation issued as a result of the process is not binding on the parties (unless they agree otherwise). Rather, the Evaluation provides the parties with an independent assessment or evaluation of the issue that has arisen between them. This may be particularly useful where:
- the parties are far apart on their view of the law and/or the value of the dispute;
- the case involves technical or specialised subject matter and it is important to engage a neutral third party with expertise in that subject;
- communications between parties about merits and/or procedure could be improved;
- the case has the potential for a prolonged period of interventions by the courts before a hearing; or
- the case has the potential for a long and costly hearing.
What is the role of the evaluator?
The evaluator is an independent and impartial person whom the parties trust and respect to provide guidance as to the likely outcome if the dispute were to be heard by a court. Generally, the evaluator will be a retired judge or tribunal member and/or a senior barrister or arbitrator with extensive decision-making experience.