Mediation is a method of Alternative Dispute Resolution (ADR) where the parties have agreed to the intervention of a neutral third party, in order to resolve their dispute through a mutual settlement.

The outcome of mediation generally results in a solution without necessarily determining a right or wrong side. In this approach, the solution can be considered as a final decision because it has been concluded with the consent and participation of both parties.

Most other commonly used forms of dispute resolution such as adjudication, arbitration, and even litigation result in decisions that are temporarily final but in reality, are often subject to challenge and appeal.

The mediator’s function is not to express a view on the dispute but rather to assist the parties in arriving at a consensus. The objective is essentially to help realize a Win-Win scenario.

First, the mediator is appointed by the parties and attends a meeting where each party will introduce their side of the dispute. Following the meeting, the mediator will meet with each side separately in private sessions called caucuses. The aim of these private meetings is to reach a resolution that is satisfactory to both sides.

Once established, the terms of the resolution will be recorded in some form of Settlement Agreement. This agreement may prohibit either party to raise the same dispute in the future in any form.

The process of mediation is most effective with parties that are willing to settle because they must concede aspects of their respective positions in order to reach a compromise.

Mediation and other forms of ADR are generally supported by the courts, in keeping with the Civil Procedure Rules (CPR) that apply to court proceedings. There are, however, certain considerations to be taken into account in assessing the ramifications when a party refuses to participate.

Mediation is a suitable mechanism to settle disputes when parties are seeking to preserve their commercial relationship. In mediation, parties can expect a less problematic outcome than adversarial dispute resolution methods such as adjudication, arbitration and litigation.

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