Which is a possible sanction for not engaging in ADR?

• A. Dismissal of the claim.
• B. A costs sanction may be imposed on them at the conclusion of the proceedings.
• C. The court automatically transfers the matter to a different court.
• D. The case proceeds to trial with no ADR consequences.

Answer: (B)

The main concept is that courts use ADR to push parties toward settling disputes, and there can be financial consequences if someone unreasonably refuses to participate. A costs sanction means the party who declines to engage in ADR may have to pay the other side’s costs when the case ends. This discourages avoiding ADR and rewards the party that cooperates with ADR efforts. The sanction is tied to directions or expectations set by the court about trying ADR, and it isn’t automatic dismissal or a mandatory transfer to another court. It also isn’t true that the case can proceed to trial with no ADR consequences—the court can impose costs penalties to reflect the ADR stance and participation (or lack thereof).