Business disputes are common. Disagreements can occur for a number of reasons and between all types of parties. When you cannot immediately resolve a business dispute, it can threaten your company and disrupt your operations. When a disagreement is not quickly resolved, it can lead to lengthy and costly litigation. There are some ways to resolve disputes before they result in litigation. Negotiation and alternative dispute resolution (ADR) are options that can provide effective resolution. Alternative dispute resolution includes methods such as arbitration and mediation.
What is Mediation?
Mediation is a process that allows two or more parties to communicate to negotiate a fair resolution. A mediator is a person who is trained to work as an impartial facilitator between parties. The mediator helps parties work through difficult issues that they otherwise could not resolve. Generally, both parties must agree to participate in mediation. Mediation works best when parties keep an open mind to compromise. Many disputes can be resolved in ways that will be beneficial to both parties. A mediator identifies the issues that are important to each party and then helps to focus discussions so that parties can negotiate or compromise to come to a resolution that is suitable to everyone.
Benefits of Mediation
Mediation as a way of resolving business disputes has many benefits. It is a good option that is less formal than arbitration and less expensive than litigation.
- Mediation provides a faster and more efficient way to resolve disputes
- Mediation gives parties better control over the outcome of the dispute
- Mediation offers a way for both parties to maintain a good relationship
- Mediation allows for private and confidential discussions
- Mediation can often prevent the need to go to court, thus saving money and time
- Mediation allows both parties to feel they have won
Mediation is a fair way for parties to get together to talk through a resolution that will be agreeable to everyone. This option provides you with a neutral place to bring ideas and discussions to light. Both parties can feel free to talk about the matter more openly than in a court setting. If the matter has to go to litigation, it can mean hours of preparation and legal fees. Instead, parties can try to end the issue before it gets too lengthy. A court case can make parties into bitter enemies, while mediation may help to preserve the relationship.
Resolving Business Disputes
Business disagreements can be difficult, regardless of the amount of money involved. The first step is to try to negotiate with the other party to come to an agreeable solution. If the parties cannot resolve the matter quickly, it is often a good idea to review the situation with your attorney. An experienced business law attorney will evaluate the details and contract and will help facilitate a resolution. Alternative dispute resolution might be a good option in cases where parties cannot easily agree. Mediation is a step you can take that will often result in favorable results for everyone.
To learn more about business dispute resolution, contact our legal team at Moen Sheehan Meyer, Ltd. online or by phone at (608) 784-8310 for an initial consultation.