Mediation is the Alternative for Resolution of Business Disputes
Why is Mediation the most rapidly growing approach for the resolution of business disputes? In 1997, the survey was conducted regarding the conflict resolution approaches among Fortune 1,000 companies. More than 600 companies responded to the survey, and said that are happy to resolve their disputes through ADR techniques which involves Mediation & Arbitration.
Mediation works. It is an effective means of dispute resolution for any dispute not requiring a judicial or third party determination. It provides a forum and an atmosphere in which parties gain understanding, become understood, and work together to explore options for resolution. By resolving disputes in mediation, parties determine for themselves what is important and, ultimately the outcome of the situation. While the benefits of mediation vary somewhat depending upon the nature of the dispute, and model of mediation applied, the following are some of the benefits typically associated with mediation:
What kinds of disputes can be mediated?
The short answer is – almost any civil, businesses, family or workplace disputes, partnership & industrial disputes, intellectual property matters, etc. can be resolved mediation. Benefit of Mediation :-
RECOGNITION: In hearing and being heard in the mediation forum, parties gain the understanding of the other parties point of view, and an enhanced opportunity to be heard and understood themselves.
EMPOWERMENT: Parties are empowered to decide for themselves whether and how they would like to resolve a situation. This self-determination aspect of mediation often corresponds to higher aspirations of how individuals and businesses want to conduct their lives and do business generally.
SPEED: In resolving or narrowing disputes through mediation, parties avoid the delay of a third party or judicially decided outcome.
ECONOMICAL: In resolving or narrowing areas of disputes through mediation parties save an enormous amount of time, energy, and expense associated with protracted conflict and litigation.
CONFIDENTIALITY: While lawsuits are matters of public record, what transpires at a mediation can be kept confidential by agreement.
QUALITY OF SETTLEMENT: Studies indicate parties entering into voluntary agreements through mediation are far more likely to adhere to and fulfill commitments made in such agreements than they are with judicially imposed resolutions.
AVOID BAD OUTCOMES: Through mediation, parties avoid both the “win-lose” and “lose-lose”, outcomes associated with litigation. Many parties who “win” in protracted litigation often find the overall time, energy, and monetary commitment associated with litigation comes at an enormous cost and loss. Those who lose in litigation surely feel even worse about such an outcome. Mediation can spare parties from all of this and enable them to move forward from disputes efficiently and effectively.
The article has been contributed by Pradeep Sharma, Advocate, member of ADROIT Mediator.