In last month’s article, we discussed negotiation as a time and cost-efficient way to resolve a business dispute. If negotiation is not an option – perhaps the parties are so at-odds that they can’t effectively communicate – then mediation might be the answer.

Mediation is an informal and non-adversarial process in which a neutral third-party facilitates the resolution of the dispute, but does not actually make any decisions. With the ultimate goal of coming to a compromise after discussing the issues and exploring potential resolutions with the mediator, the power to actually agree on the settlement rests with the individual parties. Often, if the disputing parties are friends or business partners, using mediation will allow them to maintain that relationship because neither one is seen as the winner or loser. 

The process itself is voluntary and each party has the authority to accept or reject a potential settlement, which often will not be exactly what either of them wants. But, if the parties do come to an agreeable compromise, it becomes binding upon the signing of a settlement agreement.

Unlike using litigation or arbitration to settle a conflict, with mediation there is no submission of evidence, no filing of motions, and no formal proceedings. Because they are in control, parties that settle a dispute through mediation are often more satisfied with the result than if the exact same result was imposed on them by a judge or arbitrator. 

Mediation generally results in a resolution more quickly than litigation or arbitration, which also means less cost. Of course, if the parties fail to come to a settlement, then other avenues are available for resolving the dispute. But mediation should be considered as a first step. Give me a call if you would like to explore this option for any conflict you may be facing.

NOTE: THIS ARTICLE IS FOR GENERAL INFORMATIONAL PURPOSES. IT DOES NOT CONSTITUTE LEGAL ADVICE, NOR DOES IT CREATE AN ATTORNEY-CLIENT RELATIONSHIP. EACH SITUATION IS DIFFERENT. YOU SHOULD CONSULT WITH AN ATTORNEY TO DETERMINE YOUR LEGAL RIGHTS, REMEDIES, AND DUTIES.

By Wendy M. Anderson, Esq.
Law Office of Wendy Anderson, PLLC

480-825-4509
Contact Me Today