Which term refers to the voluntary resolution of disputes through a neutral facilitator?

Mediation is the correct term that refers to the voluntary resolution of disputes through a neutral facilitator. In mediation, an impartial third party, known as the mediator, assists the disputing parties in negotiating a mutually acceptable agreement. The key element of mediation is that it is voluntary, meaning that the parties can choose to participate in the process and can also withdraw at any time. The mediator does not have the authority to impose a decision but facilitates communication and helps the parties explore options, thereby empowering them to reach their own resolution.

In contrast, arbitration involves a neutral third party who makes a binding decision on the dispute, while litigation refers to resolving disputes through the court system, typically leading to a judge or jury making the final decision. Negotiation is a more informal process where parties discuss terms directly with one another, which may not involve a neutral facilitator. Thus, mediation distinctly emphasizes the role of a neutral party in guiding the resolution process without taking control over the outcome.