ADR Glossary

ADR

Alternative Dispute Resolution. Procedures for settling disputes by means other than litigation, e.g., arbitration and mediation.

Arbitration

An informal hearing similar to a non-jury trial. Parties present their cases to an Arbitrator who, after reviewing evidence and hearing testimony, renders a decision that is legally binding upon the parties.

Arbitration Agreement

Any written agreement between the parties to resolve a dispute, claim or controversy through binding Arbitration.

Arbitration Hearing

Any proceeding in which disputes, claims or controversies are resolved, including:  In-Person/Oral Arbitration Hearing – any proceeding in which an Arbitrator entertains oral testimony or arguments and reviews documents and evidence to render an award or judgment.  The hearing may be conducted in-person or via telephone.

Arbitration based on Written Submissions – any proceeding in which the Arbitrator reviews documents, evidence or property and bases his or her decision solely on the documentary evidence presented to him or her.

Arbitration Notice

A written notice which the Claimant files and serves upon the Respondent to initiate the claim and request Arbitration. Also referred to as a Demand For Arbitration.

Arbitrator

An individual conducting Arbitration Hearings.

Assigned Risk

In states with mandatory motor vehicle insurance laws, such statutes provide that persons who are otherwise unable to buy coverage (because of, e.g., poor driving records) may secure insurance through a statutory plan under which insurers are compelled to write coverage for such persons. The insurance is handled through a pool of insurers.

Authorizations

Forms requested by carrier from the injured party that “authorize” the carrier to obtain all medical records from medical providers. Specific authorizations include no-fault, worker’s compensation, MRI films/ X-rays, doctors narrative reports and hospital records.

Award

Any binding award issued by an Arbitrator establishing the final rights and obligations of the parties. A judgment may be entered for enforcement in a public court pursuant to the rules of the relevant jurisdiction for enforcement of arbitral awards.

Bill of Particulars

A written statement or specification of the particulars of the demand for which an action is brought including dates, sums and details of the accident, injuries or medical treatment and expenses.

Claim

Any claim seeking a remedy or relief submitted by one party against other parties including an initial claim, counter or cross claim.

Claimant

That party (or plaintiff) who has filed a claim.

Commercial Lines

That division of an insurance carrier that handles claims against a commercial business. Commercial policies include business auto policies and commercial general liability policies.

Consumer

An individual who purchases, seeks or acquires good or services for personal, family or household use.

Continuance

The adjournment or postponement of a session, hearing, trial or other proceeding to a subsequent day or time.

Damages

A sum of money awarded to a person injured by the acts of another.

Declaration Sheet

That portion of an insurance policy that confirms the name and address of the insured, policy number, effective dates and monetary limits of an insurance policy. Plaintiff attorneys may request the “Dec Sheet” prior to agreeing to an arbitration.

Defendant Discovery

A person required to make an answer in a legal action or suit. The pre-trial devices that can be used by one party to obtain facts and information about the case from the other party in order to assist the party’s preparation for trial or arbitration. Discovery includes EBTs and IMEs.

Deposition

Testimony under oath, especially a statement by a witness that is written down or recorded for use in legal proceedings at a later time.

Discovery

The compulsory disclosure of pertinent facts or documents to the opposing party in a legal proceeding.

Document

Any writing or data compilation containing evidential information such as facts, opinions, statements, reasons, descriptions, legal arguments or any other information in any form such as an agreement, record, correspondence, tape, disk, request, notice, affidavit, memorandum or other writing. Documents shall include, but not be limited to, all written notifications and communications, pleadings, reports, photographs, bills, receipts, invoices, records maintained in the ordinary course of business, medical reports, contracts and any other written documents.

EBT

Examination Before Trial – a deposition of all parties involved in a case.

HIGH/LOW Arbitration

See “Parameters”

IME

Independent Medical Examination: a medical examination of the claimant by a doctor or expert selected by the carrier in order to assess the claimant’s alleged injuries.

Infant’s Compromise Order

If the claimant is an infant (an individual under age 18), the court must approve any settlement entered into on the infant’s behalf. The court will do so by issuing an Infant’s Compromise Order.

Interim Order

Any order providing temporary or preliminary relief pending a final Award.

Interrogatory

A formal or written question asked to a witness, usually requiring an answer under oath.

In suit

A term describing the status of a claim. If the claimant’s attorney has formally instituted an action in court by serving a summons and complaint on the defendant(s), the claim is considered “in suit.”

Judge Day

A NAM term in which multiple arbitrations and/or mediations are scheduled on the same day at one location.

Liability

The duty imposed upon a defendant to compensate the claimant for his or her injuries.

Liability Limits

The sum beyond which a liability insurer does not protect the insured on a particular policy. Most policies covering liability for bodily injury include two limits, a limit of liability to any one person, and, subject to the personal limit, another higher limit for any single accident where more than one person is involved. Typical policy limits are $25,000/$50,000, $100,000/$300,000 and $250,000/$500,000.

Mediation

Non-binding settlement conference in which an independent third party attempts to assist disputing parties to reach a settlement. Mediations are only binding upon the agreement of all parties and upon the execution of the “Post Mediation Agreement.”

Mediator

An individual conducting a Mediation Conference.

Mediation Agreement

Any written agreement between the parties to resolve a dispute, claim or controversy through non-binding Mediation.

Mediation Conference

A non-binding settlement proceeding in which each party is given an opportunity to describe the facts of the case and explain its position to a Mediator who in turn meets privately with each side to evaluate their respective cases and to discuss potential settlement figures with a view toward guiding the parties to the settlement of their dispute. The hearing may be conducted in-person or via telephone.

Mediation Notice

A written notice which the Claimant files and serves upon the Respondent to initiate the claim and request Mediation. Also referred to as a Request For Mediation.

“Medicals”/ “Specials”

Medical records including all emergency room records, doctors’ reports, narratives, x-rays, diagnostic films and past medical history of the claimant.

Multi-party

A case involving more then one plaintiff/defendant

No-fault

Type of automobile insurance in which claims for personal injury are made against the claimant’s own insurance company (no matter who was at fault) rather than against the insurer of the party at fault. Under such state “no-fault” statutes, only in cases of serious personal injuries and high medical costs may the injured party bring an action against the other party or his insurer.

Offer/Demand

During settlement negotiations, the defendant or his or her insurance carrier will make an “offer” to pay a certain amount of damages to the claimant to resolve the case. The claimant will make a “demand” of an amount which he or she is willing to accept to settle the case.

Order

Any order issued by an Arbitrator establishing specific rights and obligations of the parties.

Parameters

Pre-set maximum and minimum award range for a specific case, which limits the range of an arbitrator’s decision. The parties must agree to the specific high/low parameters. These high/low parameters are not disclosed to the hearing officer.

Party

Any individual or entity who makes a claim or against whom a claim is made, including Claimants and Respondents.

Personal Lines

That division of an insurance company that handles claims against an individual person. Personal line policies include homeowner’s and personal auto policies.

Plaintiff

Person who brings a legal action.

Pre-hearing papers

The position paper and documentary evidence that a party intends to rely upon during the arbitration or mediation. Pre-hearing papers may include bills, receipts, contracts, medical records, expert reports and photographs, as well as a list of the witnesses that the party intends to call at the arbitration. Pursuant to NAM’s Rules and Procedures, pre-hearing papers must be submitted to NAM and served on the opposing party at least 10 days prior to scheduled arbitration.

Pro Se

A claimant that represents himself.

Reasoned Decision

An Award which also includes the written findings of fact, conclusions of law or reasons for the Award.

Reply

A written response by the Respondent to an Arbitration Notice filed by the Claimant.

Representative

Any individual, including an attorney, who represents a party in an Arbitration or Mediation.

Respondent

Any party against whom a claim is made.

Sanctions

May include the dismissal of the claim or counter-claim, preclusion of evidence, admission of facts, payment of fees, costs or attorney’s fees or the granting of an award. The Arbitrator may impose sanctions against a party, a representative or both.

Service

The methods of delivery specified in Rule No. 11 by which a party may deliver an Arbitration Notice or Reply, or any other documents or written communications to another party or to the NAM Administrator.

Signature or Signed

A mark or symbol intended as an attestation, produced by reliable means, intended as a signature.

Stipulation of Discontinuance

A stipulation that bars any further litigation with regard to the facts and issues of the particular case. After settlement of a case, the claimant will execute a “stip of discontinuance” that will be filed with the court, discontinuing the pending action.

Submission Form

Once parties verbally agree to arbitrate or mediate, they must sign NAM’s submission form. The agreement includes: names, addresses, telephone numbers of each party, as well as file numbers, parameters and whether the arbitration is to determine liability, damages or both.

Subrogation

The substitution of one person or company in the place of another with reference to a lawful claim. Insurance companies generally have the right to step into the shoes of the party whom they compensate and sue any party whom the compensated party should have sued.

Summary Judgment

A procedural motion made by one party asking the court to decide the case without a trial when no material issues of fact exist or the case involves only a question of law.

Threshold

In no-fault states, in order for a claimant to recover from the insurance carrier of the defendant (rather than simply their own carrier), the claimant must demonstrate that the injury sustained surpassed a certain threshold, i.e., that the claimant sustained a “serious injury.”

UIM

Underinsured motorist coverage. Protection afforded an insured by his or her own policy of insurance to protect against situations in which the offending motorist does not carry enough coverage to pay damages incurred by the injured party.

UM

Uninsured motorist coverage. Protection afforded an insured by his or her own policy of insurance against bodily injury inflicted by a motorist with no insurance coverage.

Venue

The particular county or geographical area, in which a court with jurisdiction may hear and determine a case.

Witness

An individual who may or may not be a party, who will appear at an Arbitration hearing and give sworn testimony regarding the dispute, claim or controversy.

Written Submissions

The legal memorandum, position paper, case law, deposition transcript, witness statements, expert reports, photographs, bills, receipts, invoices, or any other written documentary evidence submitted by a party in support of its position.