Mandatory Pre-Suit Arbitration

Improved Essays
Mediation
Mandatory pre-suit arbitration is a practice whereby an unbiased third person called a Mediator acts to encourage and facilitate the resolution of a dispute between two or more parties (Christiansen, 2010). The information to follow will cover some of the more common questions asked by supervisors when faced with the unknowns of a mediation process. What are the advantages and disadvantages of mediation, does everyone at the company need to attend or can an attorney be sent instead, must the company actually participate in the mediation, how much engagement and dialogue should be used during the mediation process and the risks concerning information that might be disclosed. Furthermore, if the mediation fails, can the former employee
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Many mediations are resolved within hours but often last a couple of days. This is much faster then the months or even years a case in litigation may take. Mediation has low costs involved due to avoiding discovery, filing fees, and lingering attorneys fees that may have to be paid out for years. Mediation is an informal and non-adversarial method with the objective of helping the disagreeing parties reach a mutually suitable and voluntary agreement. In mediation, decision-making authority rests with the parties (Forthman, 1997). The nature of the Mediator includes, but is not limited to, assisting both parties and recognizing all of the individual issues, encouraging joint problem-solving and exploring settlement alternatives. Mediation is empowering to both parties, each party will make offers, work directly with the mediator, and both sides get to tell there story, allowing for less hostility toward each other. Mediations are also confidential and if violated sanctions can be given. A recent CIPD survey indicated a 65% success rate, and those that used mediation had a 90% success rate (Hall, 2013). Some of the disadvantages with pre-suit mediations are that it does not always end in a settlement agreement and legal precedent cannot be fixed in mediation. Those were some of the advantages and disadvantages of mediation. The information that fallows will be identifying who will …show more content…
When mediation is a success, the parties move on. When mediation fails, it often widens the focus of the dispute and broadens the gap that often exists between the expectations of each party. Mediation can be very beneficial, offering the chance to clear any misunderstandings, fix shattered promises, set the stage for an apology to take place, and improve portions of the relationship that have malfunctioned well in the past. Having an understanding of the advantages and disadvantages of the mediation process, whom will need to attend, if the company actually needs to participate in the mediation, how much engagement and dialogue should be used during the mediation process, the risks concerning information that might be disclosed, and if the mediation fails, can the former employee use such information at trial are all valuable knowledge to know prior to any mediation

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