Read the case study and then answer the questions that follow.

Case Study

Lila and Kay have been friends for more than 10 years. They met through their church and have been active participants in all of its functions. Two years ago, Lila came up with the idea of opening a religious bookstore together. They could call it The Good Book, she suggested. Kay was hesitant to get involved in such a risky retail venture. Kay has a good job as a high school teacher and didn't know if she had the time or resources for a bookstore. Lila told Kay that she could keep her job and work part-time at the bookstore on Saturdays and during the summer. Lila would work there full-time and would take care of all the day-to-day hassles and decision making. It will be fun, said Lila.

Still hesitant, Kay agreed. Lila was glad because she had already signed the lease on a small shop on the riverfront. Lila and Kay pooled their money, and Lila started buying inventory for the bookstore. The store was moderately successful, but it never did provide the windfall profits Lila thought it would. Kay realized she would make more money working as a waitress on Saturdays and during the summer than being part owner of the bookstore. After two years, Kay told Lila she wanted out.

Lila cannot make a go of it without Kay's help, both financially and at the bookstore. She pleads with Kay to give it one more year, but Kay is firm. Lila tells Kay that she can't just leave; they're in a partnership together, though nothing was ever put in writing. Kay doesn't back down. Finally, Lila approaches the law firm you work with to see what she can do to keep the partnership intact and the bookstore open.

What is the best way to settle this dispute between Lila and Kay?

a. Trial by jury

b. Trial by judge

c. Negotiated settlement

d. Alternative dispute resolution