In collaborative law matters, the parties commit to resolving their claims outside the court system, and instead use processes such as voluntary mediation or arbitration. The collaborative law approach can provide significant advantages to business owners, including the following:

  • Avoidance of publicity and preservation of business reputation
  • Identification of parties' concerns
  • Preservation of important business relationships and affiliations
  • Protection of confidential information
  • Reduction in monetary costs, time, and emotional costs


When collaboration is used in the business or commercial setting, both sides can agree to the final resolution. This is sometimes called settlement by design. Consequently, the parties should pledge to do the following:

  • To resolve their dispute outside the court system, without litigation
  • To reach a settlement that is fair and reasonable to the parties 
  • To act in an open and honest manner in regards to the exchange of information and during the collaborative process