EXAMINATION OF THE EFFECTIVENESS OF ALTERNATIVE DISPUTE RESOLUTION MECHANISMS IN RESOLVING COMMERCIAL DISPUTES IN NIGERIA.

ABSTRACT This study examined the effectiveness of Alternative Dispute Resolution (ADR) mechanisms in resolving commercial disputes in Nigeria, recognizing the inefficiencies, high costs, and adversarial nature of litigation as traditional methods. The aim is to explore ADR's viability as an alternative to litigation, with specific objectives to highlight its mechanisms, effectiveness, challenges, and ways to enhance its efficacy. Using a doctrinal research methodology, this study draws on existing literature, legal statutes, and empirical observations to evaluate ADR's role in Nigeria's commercial landscape. The research argues that despite institutional support and recognized advantages of ADR—such as cost-effectiveness, expedited processes, and preservation of business relationships—its application faces challenges like inadequate legal frameworks and limited practitioner expertise. The central research problem addresses the limited awareness, enforceability issues, and varying acceptance of ADR within Nigerian commercial contexts. The findings indicate that while ADR mechanisms can provide timely and amicable resolutions, challenges such as judicial interference and the variability of enforcement remain significant barriers. Appropriate recommendations have been made which include the need for comprehensive legislative reforms, training programs for legal practitioners, and strengthening ADR institutions to ensure consistency and enhance the overall effectiveness of ADR in Nigeria's commercial disputes. By providing insight on these aspects, this research contributes to a better understanding of ADR's potential in Nigeria, advocating for its broader adoption as an efficient and reliable alternative to traditional litigation. Keywords: Alternative Dispute Resolution (ADR), Arbitration, Commercial Dispute, Conciliation, Mediation, Negotiation.