Why mediate?

What is mediation?

When a business or legal dispute arises between two parties that they cannot resolve, their best, first option should be to hire an independent mediator. A mediator meets with both parties, patiently listens to their statements, reads their paperwork, and assists them in reaching a mutually acceptable solution. A mediator then assists them in drawing up a settlement agreement that is signed by both parties and becomes legally binding.

Why mediate?

Mediation is faster and cheaper than litigation, but is still legally binding. A real estate mediation session generally takes just two or three days, while lawsuits commonly drag on for two or three years and can cost both sides hundreds of thousands of dollars.

Mediation is entirely confidential. Any issues discussed in mediation and the contents of the settlement agreement are kept private. No information can ever be used against either party in future litigation, and under California law, a mediator cannot be compelled to appear in court later. This fosters an environment of honesty and diplomacy that leads to a quick resolution of the dispute.

Mediation is binding on both sides. A signed settlement agreement carries the same legal weight as an award won in court or arbitration.

Mediation is often a win-win situation. With the help of a mediator professionally trained in negotiation and problem-solving, the parties agree on a mutually acceptable solution. But in arbitration or litigation, the parties have little or no control over the outcome -- one side always loses.

The fallout from litigation often takes its toll on everyone, emotionally as well as financially. The time spent assisting counsel in litigation, the costs of litigation and the experts, the worry and stress of the uncertainty of litigation, and the uncertainty of the outcome, all are strong factors in favor of trying to mediate a dispute first.