Strategies for Settling Contract Disputes Outside of Court

 Posted on February 10, 2025 in Civil Litigation

Litigating contract disputes in court can be costly. If you or another party to a contract have been accused of violating the terms of the contract, you likely want to avoid court, but the 2 parties may be at an impasse as to how to fairly settle the matter. An Illinois civil litigation defense attorney can provide you with guidance and representation to help settle a contract dispute out of court.

At the Law Office of Vincent C. Machroli, P.C., we do not believe in ‘one size fits all’ solutions for legal problems. Instead, we provide legal services tailored to your needs, on a case-by-case basis. Attorney Vincent Machroli has over 38 years of experience, so you can rest assured that your case will be handled by a seasoned professional.

Informal Negotiations

If you have a working relationship with the other party in the contract, you could first try to settle the matter on both of your own terms. This sometimes gives all parties a high degree of control over the outcome, with minimal – if any – legal fees. 

There are different ways to resolve a contract dispute through informal negotiations. For example, you might agree to carry out the terms of the contract, pay the other party compensation, or request a modification or termination of the contract. These are all viable solutions, but if you and the other party cannot agree, you are left back at square one. 

Mediation

Mediation offers a structured approach to settling a contract dispute. In this process, you and the other party will sit down, usually with your attorneys, and try to reach a fair settlement with the help of a neutral third party known as a "mediator." The mediator will help all parties voice their concerns, keep the discussion on track, and propose creative solutions to the contract dispute.

Mediation can be much more productive than trying to reach an agreement on your own. Our attorney can represent you in mediation, advocating for your best interests while still trying to reach a collaborative solution.

Arbitration

If you want to resolve a contract dispute outside of court in a manner that is still legally binding, you might consider arbitration as an alternative to litigation. In this approach, you and the other party agree to take your case to an arbitrator who will make the final decision about the dispute, much like a judge would. This decision is legally binding and enforceable by law.

There is little negotiation involved in arbitration. Instead, both sides will make their case for how to settle the contract dispute by presenting evidence. The arbitrator may ask questions to get a better understanding of the conflict. Compared to going to court, arbitration tends to be over and done much quicker, often providing an efficient solution to the dispute.

Meet With an Oak Park, IL Contract Dispute Attorney

If you are trying to decide what to do about a contract dispute and are hoping to resolve the matter out of court, a Hillside, IL civil litigation defense lawyer can provide you with representation and counsel to work toward a favorable outcome. To schedule a free consultation at the Law Office of Vincent C. Machroli, P.C., call our offices at 708-449-7404 today.