What Benefits Do Alternative Dispute Resolution Systems Provide Employers

question 100

Multiple Choice

What benefits do alternative dispute resolution systems provide employers?

• A) higher employee productivity
• B) reduction in numbers of employee complaints
• C) lower legal costs
• D) fewer constraints on management behaviors than when no ADR system is in place

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Definitions:

Derivative Action

A lawsuit brought by a corporation's shareholder(s) on behalf of the corporation against a third party, often the corporation's executives or directors, when the corporation fails to take action.

Suing Shareholders

The act of taking legal action against the shareholders of a company, typically relating to disputes over management decisions, violations of shareholder agreements, or breaches of fiduciary duties.

Corporate Treasury

The division of a corporation that manages the company's liquidity, financing activities, and financial risk.

Minority Shares

Shares of stock that represent less than half of the control of a company, often held by investors who have limited influence on corporate decisions.