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ALTERNATIVE DISPUTE RESOLUTION (ADR) IS A PROCESS WHICH PERMITS THE RESOLUTION OF LEGAL DISPUTE OUTSIDE THE COURTS WHERE A NEUTRAL THIRD PARTY HELPS PARTIES WHO ARE IN DISPUTE TO COME AN AGREEMENT/RESOLUTION OR MAKING DECISION. ADR IS AN ALTERNATIVE TO COURT ADJUDICATION THROUGH NEGOTIATION, CONSULTATION, MEDIATION, RECONCILIATION, EXPERT ASSESSMENT AND ARBITRATION. ADR MANAGES TWO MAIN APPROACHES IN RESOLVING DISPUTE: 1. DISPUTANTS TO CREATE AGREEMENT. 2. THIRD PARTY MAKES DECISION. WRITTEN AGREEMENT ABOUT FORUM OF CHOICE TO RESOLVE THE DISPUTE SHOULD BE AGREED BY DISPUTANTS, IT SHOULD INCLUDE COMMITMENT AND GOOD FAITH BY DISPUTANTS AS BONAFIDE PARTIES, THEY SHOULD KNOW THE PROCESS AND COMMITMENT TO THE RESULT. WHILE THE THIRD PARTY WHO HELPS THE PROCESS SHOULD COMPLY WITH ITS CODE OF CONDUCT SUCH AS MAINTAINING INTEGRITY, FAIRNESS, NO CONFLICTS OF INTEREST, COMPETENCE, COMMUNICATIVE, TRUST AND CONFIDENCE. IN GENERAL, IF WE COMPARE WITH ORDINARY JUDICIAL PROCEEDING, ADR PROCESS GIVES ADVANTAGE SUCH AS CHEAPER, FASTER, CONFIDENTIAL AND OPPORTUNITY FOR DISPUTANTS TO CREATE AGREEMENT/ RESOLUTION BY THEM SELVES DURING THE PROCESS, THE CREATION THAT ARE BETTER SUITE TO THE PARTIES’ UNDERLYING INTERESTS AND NEEDS. FOR EXAMPLE IS MEDIATION, IN THIS PROCESS A NEUTRAL THIRD PARTY (MEDIATOR) FACILITATES DISPUTANTS TO COME TO A CONSENSUS MADE BY THEM SELF. MEDIATOR WILL ASSIST DISPUTANTS TO SEE AND EXPLOR THE CONFLICT INCLUDING UNDERLAYING POSITION FROM EACH PARTY. MEDIATOR WILL FACILITATE DISPUTANTS IN COMMUNICATION OR MAKING DIPLOMACY FROM THEIR VIEWS INCLUDING ANY POTENTIAL HIDDEN VIEW WHICH THAT PARTIES ARE UNWILLING TO SHARE WITH EACH OTHER. IMPARTIALITY OF MEDIATOR DURING THE PROCESS IS VERY IMPORTANT ASPECT TO MAKE SURE THE DIALOGUE OR BRAINSTORMING CAN BE DONE SMOOTHLY BECAUSE AT THE END THE DISPUTANTS ARE THE PARY WHO MADE THE AGREEMENT/RESOLUTION. WHILE IN ARBITRATION PROCESS, THE NEUTRAL THIRD PARTY (ARBITOR) WILL SERVE AS JUDGE WHO IS RESPONSIBLE FOR RESOLVING D