Presently, there are a variety of options available for resolving disputes – mediation, commercial arbitration, and of course, a court of law. Dispute resolution in a court of law should be considered as a “last resort” when and if the parties of the dispute fail to reach a consensus on the method of resolution. Read further to clearly understand more about dispute resolution in a court of law. Please note that the terms, “the court” and “court of law” are one in the same.
Dispute Resolution in a Court of Law
Dispute resolution in a court of law, is a solution based on the power of the state, in which the court will proceed to resolve disputes in the name of the state, is conducted in a strict and rigorous manner, and with strict procedures regarding the disputed cases. If the parties do not voluntarily comply, enforcement will be ensured through the coercive power of the state.
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Principle of Dispute Resolution in the Court
The resolution of disputes through the Court is carried out by the competent authority in the name of state and under the governing power of the state, based on the promulgated laws and regulations that have a binding legal effect and enforcement power if a party does not comply with the issued judgment. The resolution of disputes through the Court is conducted based on the following principles:
- The court is the state agency responsible for enforcing and applying the law to resolve disputes. Therefore, the court has a high level of coercive power
- Dispute resolution in court of law must strictly adhere to the provisions of the law regarding jurisdiction, procedures, and principles of dispute resolution as stipulated in Civil Procedure Code 2015
- The Court will resolve disputes publicly
- Dispute resolution in a court of law is conducted through two levels: First instance and Appeal. The legally effective judgment may be reviewed through cassation or retrial.
- The court will resolve disputes based on the principles of collective judgment and majority vote
Advantages and disadvantages of resolving disputes in a Court of Law
So, should we resolve disputes in court, or not? Compared with resolving disputes through arbitration or mediation, what are the advantages and disadvantages of resolving disputes in a court of law?
Advantages and disadvantages of resolving disputes in a Court of Law
- Ensuring rights and obligations according to the court’s judgment. As the state judicial authority with high coercive power, the court can and will enforce its judgments. If any party fails to comply with the judgment, the court’s enforcement agency can and will take compulsory measures to ensure compliance.
- Transparent and public proceedings. This is an advantage when it comes to cases involving “foul” business practices. It serves as a strong deterrent, protecting the reputation of the business and preventing other businesses from engaging in similar violations.
- The court is more well-facilitated for investigation than arbitrators, and posses the power to compel third parties to appear in court as expected.
- Parties do not have to pay any fees to the judge and the administrative costs are relatively low, making this method preferrable to many people.
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Disadvantages of resolving disputes in a Court of Law
With such advantages, are there any disadvantages to resolving disputes in a court of law?
- The enforcement of court judgments is based on legal principles and majority decisions of the panel, which limits the flexibility of the litigation process in c
- Appeals are common, and the litigation process can be prolonged, affecting costs, evidence, and time of the parties involved. Moreover, resolving disputes in a court of law involves multiple levels of adjudication, which significantly impacts the interests of both parties.
- It hinders entrepreneurs when company secrets are exposed, and the company’s market reputation is ultimately
- Court judgments often encounter challenges in achieving international recognition. Recognition of court judgments in another country usually requires bilateral agreements or strict principles.
- Resolving disputes in foreign Courts, language and procedural rules are applied during the dispute resolution process which could greatly inconvenience one or both parties.
Contact
Above are the details regarding dispute resolution in a court of law. Please direct any inquiries or questions or requests for consultation on this matter to CNC:
Address: 28 Mai Chi Tho Street, An Phu Ward, Thu Duc City, Ho Chi Minh City, Vietnam
Phone number: (84) 28-6276 9900
Hotline: (84) 916-545-618
Email: contact@cnccounsel.com
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