Solar Co. Inc. Harvard Case Solution & Analysis

Solar Co. Inc. Case Solution

1-      Consideration of timing and possible alterations in the situation

The settlement option will allow the company to reach to the final decision without any delays. It will make the company develop the terms and conditions and work upon them immediately after the settlement of the parties on the common ground. This will reduce the delays and will not prolong the procedure.

2-      Comparison to other means of relief outside of litigation

Lastly, settling the matter among the parties will allow the company and XYZ to mitigate the cost imposed on the court to settle the matter. This will reduce the cost of the settlement and will offer fruitful results leading to effective expense management and other cost associated with the issue.

Perhaps, if I would have been advising to the XYZ Company, the recommendation to settle the matter would have remained the same. It is due to the fact that this option is cost effective, time saving and has final results without delay.Also, it allows both parties to maintain harmonious relationships among themselves, without developing poor image in the market which in long term may deteriorate their financial stability (Sussman, 2008).





The arbitration process generally includes the settlement of the issue between the two parties at lower cost and through a streamlined process as compared to the court. It includes a more informal approach to deal and streamline the overall process, making the procedure cost effective and time saving. Following are the steps included in the arbitration process:

  • In the beginning of the process, one party offers the notice to the other party with the intent to arbitrate the dispute, entailing all the bases for proceedings.
  • The other party is offered the short amount of time to respond to the notice in the form of acceptance of the arbitrage to resolve the dispute.
  • Then finally, if both parties agree to resolve the dispute through arbitrage, the process begins itself and both parties come to a mutual decision, without reaching to the court.
  • Above all, during the process, the time required to settle the dispute is less than litigation and also the cost that sometimes prolongs the settlement of the dispute, leads to losses to the concerned parties.

Provisions of Arbitration under the Federal arbitration act

Under the Federal Arbitration Act, both parties are liable to follow the rules set by the arbitrated paper, and are enforceable through law. Infact, the ecommerce and other diversity related cases are covered under the arbitration process and activity enforceable on the parties.However, it is also eminent that some states may not have the arbitrary implementation of the law, making the process not reinforce-able on the party.

Use by Solar Co

By analyzing the above impact and perspective of the Arbitrary Act, it is better for the company to use such act in settling the regular conflicts occurring in the business settings.However, while using this, the company should ensure the presence and acceptance of the act by both the parties and its enforce ability in both the regions (Kochery, 1953).................

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