Also known as Alternative Dispute Resolution, mediation aims to reach a common-sense settlement that both parties can agree on. This is facilitated by a mediator, a legal professional experienced in problem-solving and helping people communicate effectively while working towards a resolution.
While having an intermediary may seem unnecessary in some cases, most disputes benefit from an independent professional who can help both sides work through their differences.
When would you enter into mediation?
The mediation process is flexible and can be used in a wide range of cases and disputes. These include compensation claims, divorce proceedings, and consumer, contract, or family disputes.
The benefits of mediation
Cost effective and time efficient
Compared to litigation, mediation is often a more economical way to resolve a dispute because it usually costs less and takes less time. The time and financial implications of court proceedings can be difficult to predict, and there is always a risk that costs will rise significantly. By contrast, mediation is often relatively quick, and a straightforward dispute may be resolved within a day.
There is no guarantee that mediation will lead to a satisfactory outcome. However, it is typically a more cost-effective and less stressful process than bringing a court claim.
Informal and amicable
Mediation is a process built around communication and encourages constructive action between parties. The third party involved is not there to impose restrictions, but to help both sides communicate more effectively. The process is entirely voluntary, which means the people involved remain in control throughout.
One of the key differences between litigation and mediation is that resolving a dispute outside court does not involve a third party, such as a judge, making a legally binding decision. It is for the parties themselves to reach a compromise they are willing to accept. Mediation can even end with a positive outcome that preserves a workable line of communication between those in dispute, such as in a workplace disagreement.
Tailored to the individual
Mediation is more informal than court proceedings, which means any settlement can be shaped around the needs and circumstances of both parties. A mediator helps make sure each person is heard and their wishes are understood.
An experienced mediator can often suggest creative solutions that reflect the real interests of both parties and any common ground between them, rather than focusing only on strict legal outcomes.
Confidential
Although it is less formal, mediation remains confidential, unlike information shared during court hearings, which is usually made public. If the dispute is not resolved, information disclosed during the mediation process generally cannot be used in later court proceedings.
What if mediation does not receive a resolution?
Although mediation is favourable in many respects, it does not always result in a settlement between the parties. If you are unable to resolve a dispute through mediation, further legal action may be required and you may wish to ask your legal service provider to begin court proceedings.
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