Commercial Mediation

Where an impartial commercial mediator resolves disputes

between two or more businesses

COMMERCIAL MEDIATION is a process where a trained and impartial mediator helps two or more commercial orgainsations resolve a dispute.   

Almost any commercial dispute can be resolved through mediation. Some typical examples are shown below.

Mediation finds a mutually acceptable settlement, ensuring the parties remain in control of the outcome and can protect their interests at all times. This differs from court where a judge decides the outcome. 

The UK courts heavily promote mediation to resolve disputes out-of-court because it offer many advantages.

 

A typical mediation would work like this.

Why use mediation?

 

Mediate settlements to commercial disputes quickly to avoid

dissatisfied customers, unhappy employees and a risk to your profitability

Protect your revenue and profitability

Disruptions to supply chain, issues with buyers or disputes about funding can hit profits and cashflow. 

Resolve issues quickly and get your business back on track.

Don't give your competitors a chance to take your market.

Maintain customer satisfaction

Your business relies on satisfied customers. 

If your product or service is jeopardised by a commercial dispute, it's your customers that might suffer.

 

Protect your reputation by sorting out issues quickly.

Keep your team productive and focused

Your people are critical to your business. Disputes threaten productivity and unsettle your team.

If your employees are hindered your clients might suffer and you may lose good people.

Empower your team to deliver by resolving causes of dissatisfaction.

Advantages of Mediation

There are many benefits of mediation versus court action

We have highlighted some of the most important below

 

Cost

Mediation is much cheaper than court action and costs are known and fixed at the outset

Control

Parties are free to decide the terms of settlement - nothing can be imposed on them

Confidentiality

Everything in mediation is confidential, preserving commercially sensitive information

Speed

Mediation can be resolved in a day and

scheduled more quickly than court hearings

Protects relationships

Mediation is collaborative, protecting relationships more than adversarial litigation

Convenience

Mediation takes place at a time and place agreed by both parties, reducing disruption

 

Who should use mediation?

Most commercial disputes can be settled through mediation.

Here are a few illustrative examples where mediation got businesses back on track.

Supplier dispute jeopardised reputation for quality

A dispute with a supplier over the quality of materials threatened a manufacturers' reputation for quality.

 

Mediation resolved the dispute, ensured future quality and strengthened the relationship.

Founders' disagreement threatened partnership

Growing distrust between founders was disrupting sales and putting the partnership at risk.

Mediation resolved the dispute, clarified individuals' roles and responsibilities and re-energised the partnership.

Disruption in business-critical software hit revenue

Delays in the completion and disruption to provision of software services led to loss of contracts and revenue.

Mediation resolved the dispute, re-aligned incentives and brought the project back on track.

Contract breach left employees at risk

A breach of contract left works incomplete, threatening the safety of employees and stopping work.

Mediation resolved the dispute, established clear SLAs and allowed work to resume.

Supply-chain issues incurred delay penalties

Issues with contractors meant downstream work could not begin causing delays to build.

Mediation resolved the dispute, agreed a new plan allowing work to resume achieve deadlines.

Professional negligence led to cashflow crisis

A small business was at risk of bankruptcy as professional negligence tied-up much-needed capital. 

Mediation resolved the dispute, released funds and allowed the business to continue trading.

How we mediate

Mediation is flexible and can be tailored to your specific requirements.

A typical one-day mediation might proceed as below.

 
  • 1. Preparation

    Your mediator will gather the key facts and views from all parties.

    Each party will prepare a Position Statement to summarise their position.

    The mediator will prepare all participants for the mediation.

  • 2. Opening

    Your mediator will welcome everyone and explain the process and ground rules.

    All parties will get the chance to explain the dispute from their point of view. 

     

    This will usually be in an initial joint (Plenary) session but this is not compulsory.

  • 3. Negotiation

    The parties then settle and talk with the mediator in private (Caucuses). 

     

    The mediator will begin to explore potential solutions; passing messages and offers between parties to move forward towards settlement.

  • 4. Settlement

    Once an agreement is found that everyone is satisfied with, the mediator will document it. 

     

    Once signed the Settlement Agreement will be binding. 

     

    Until signed, parties may leave at any time - no party can be forced into a solution.

204 Court Road | London | SE9 4TX

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