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What's Mediation?

WHAT IS "MEDIATION"??? 11-27-06 

            When your lawyer calls to tell you that you should consider attending mediation with her or him as a way to try to get your case settled, don't be alarmed.  Mediation is a process that is non-binding, meaning that the decisions on whether to settle are made by the parties as opposed to a third party.  Mediation usually consists of a meeting between the parties and their lawyers and moderated by some third party, usually a lawyer or judge.  

 

            While each case that goes through mediation is different, the process is a highly effective at getting cases resolved, most within a few hours.   More sophisticated cases can take more time but, the process is equally successful.   So, rather than have a case linger on in litigation for years, many attorneys believe the process can be a quick and cost effective method at reaching settlement.

 

            In mediation, each side shares information about their own case and their opinions regarding the other party's or parties' case(s).   Through a constant process of re-evaluating each other's positions, compromise usually occurs and a settlement is reached.

While you give up the possibility of achieving the "home run" result through a verdict following a trial, our experience has shown that people who have decided to settle their cases as a part of the mediation process believe they achieved a fair settlement.  

 

            Mediation is not free.   The costs of mediation include, at a minimum, the fees for the time the mediator spends reviewing documents and information submitted to him or her before the mediation as well as the charge for his or her time spent during the mediation.  Typically, a written mediation agreement is signed by the parties or their lawyers agreeing to divide the costs equally among the parties.  The cost of mediation, however, is usually far less than the costs of continuing litigation.   Your share of a mediation that takes a few hours to conclude could be a few hundred dollars that many attorneys advance as a case expense that is reimbursed out of the settlement proceeds.  Continuing litigation can cost thousands of dollars.    In certain cases, we have been able to negotiate a mediation settlement that includes having the insurance company for the other party to agree to pay the mediator's costs.  

 

            So, when your case is in litigation and your lawyer suggests participating in mediation, you can relax and rest assured that the process is highly effective and relatively low cost.    It is also a process that allows you to control the outcome.   We regularly recommend that our clients agree to mediate their cases.

        

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