Commercial disputes emerge when trust has been damaged and communication has broken down. But conflict when properly managed can actually create value and improve a relationship. When legal or arbitral proceedings are about to start, we as mediators can step in and help you manage the process differently and lead you to a positive outcome.
What is mediation?
Mediation is a solution for people facing a difficult commercial relationship where dialogue isn’t working anymore. Both parties appoint the mediator who is neutral, independent and impartial. They manage the process and create a safe space in which the conflict is put on hold and all proceedings are frozen. In this space, all exchanges during mediation are totally confidential and without prejudice. Having left their weapons at the door, the parties can change mode, temporarily give up on contractual terms and missed obligations of the past, and talk about the future. What is important to move forward? What is it you really need from now on, rather than what you wanted until now? More often than not this leads to the signing of a settlement agreement where both parties have rebuilt trust, reached some common ground and agreed to terms that satisfy all involved.
When is it appropriate?
Mediation is only appropriate once parties have reached a “deadlock situation,” where the dispute is no longer progressing and legal or arbitral proceedings are in motion or about to start.
It only works if both parties agree to the process. It relies on each side being prepared to change mode and take a new and wider context into consideration, so that you employ some creative thinking, and reach common ground. Most of the time, the safe and confidential space gives freedom to each party to leave behind the posturing and fighting to try some freer communication. In this new context, you are able to find out what the essential needs of each party are, and become able to agree on terms that settle the agreement and put an end to the dispute.
Importantly, both parties have the right to stop the process until the last moment of mediation. At any point, they can go back to the proceedings of litigation or arbitration.
The Step-by-Step Process
Step 1 – You are entangled in a commercial dispute and reach out to a mediator.
Step 2 – Bring the other party to agree on a mediation process. Both parties employ the mediator on mediation terms.
Step 3 – The mediator organises a day of mediation with both parties.
Step 4 – The mediator creates a space of total confidentiality and neutrality to enable freer communication and find common ground to move forward.
Step 5 – Together you sign and execute a settlement agreement and put an end to the dispute.