Mediation

In a mediation, there is a neutral third party who is known as the “mediator” and provides assistance to the parties in resolving their dispute. Mediation is a confidential process that does not bind the parties involved. If mediation fails, the parties can move to court.

The idea behind mediation is that the parties can come together and negotiate their claims and settle the dispute in the presence of a neutral third party. Unlike arbitration, mediation does not involve decision-making by a neutral third party. The mediator would help the parties arrive at issues of interest and try to make each party understand the other party’s interests and points. A mediator would ensure the parties understood the issues.

Mediation can be referred to by the parties directly through a mediation clause in their agreement or upon the order of the court. This ADR has been frequently referred to in civil matters as the nature of the dispute is such that there is scope for settlement and negotiations.

The mediator can enforce joint and individual sessions for better understanding of the matter and disclosure of material information. Any information shared by any party in an individual session cannot be disclosed to the other party.

Before the settlement reached during mediation can be enforced, it must be approved by the court.