When a third party articulates the positions of both sides and generates options for a mutually agreeable resolution, this is called:

• A. Arbitration
• B. Negotiation
• C. Mediation
• D. Litigation

Answer: (C)

This scenario describes mediation: a neutral third party helps both sides express their positions and underlying interests, and works with them to generate settlement options that could satisfy everyone. The mediator guides the discussion and fosters creativity toward a voluntary agreement, but does not make or impose the final decision. This differs from arbitration, where the neutral renders a binding decision; from negotiation, where the parties converse directly without a mediator; and from litigation, which involves formal court proceedings and a judge or jury deciding the outcome. In healthcare disputes, mediation can help preserve professional relationships and confidentiality while reaching a mutually acceptable resolution.