The adjudicative process is governed by formal rules of evidence and procedure. Whereas Arbitration is a form of alternative dispute resolution (ADR), is a technique for the resolution of disputes outside the courts.

adjudicative process is formal rules of evidence and procedure and Arbitration is a technique for the resolution of disputes outside the courts.

In arbitration, the disputing parties agree on an impartial third party—an individual or a group—to hear both sides and resolve the issue. In adjudication, the decision is the responsibility of a judge, magistrate, or other legally-appointed official.

Arbitration stems out of an agreement amongst the disputing parties to submit their dispute for resolution to a mutually decided third party which then hears the dispute and decides it.

Adjudication is through the process of court.In adjudication a court of law presided by a judge hears the dispute and decides it one way or other in accordance with law of land.

The hallmark of an agreement to submit the dispute to arbitration is that parties can mutually agree therein to forfeit their right to avail the process of adjudication.