Mediation is a process whereby a neutral person, the mediator, assists the parties in reaching a mutually acceptable resolution to their dispute. The mediator does not have the authority to make a binding decision, unlike arbitration, where the arbitrator renders a decision that is final and binding.
Why use mediation if we have already negotiated and were unable to settle?
A mediator can bring a new perspective to the proceedings. Through the mediator's own knowledge of the subject matter, he or she can assist parties in exploring alternatives that they might not have previously considered.
What are some of the advantages of mediation?
- Parties are directly engaged in the negotiation of the settlement.
- The mediator, as a neutral third party, can view the dispute objectively and can assist the parties in exploring alternatives which they might not have considered on their own.
- As mediation can be scheduled at an early stage in the dispute, a settlement can be reached much more quickly than in litigation.
- Parties generally save money through reduced legal costs and less staff time.
- Parties enhance the likelihood of continuing their business relationship
- Creative solutions or accommodations to special needs of the parties can become a part of the settlement.
- Information disclosed at a mediation may not be divulged as evidence in any arbitral, judicial or other proceeding.
How long does mediation take?
Most cases are settled in a few hours. Others may require additional time, depending on the complexity of the issues.
As mediation is nonbinding, is the settlement enforceable?
Yes. A signed settlement agreement is as enforceable as any other contractual agreement.
Which types of cases are suitable for mediation?
Virtually any civil matter is suitable for mediation.
What are the chances that my case will settle?
National statistics indicate that 85% of commercial matters and 95% of personal injury matters end in written settlement agreements.
