Mediation is considered by the court one of the main method to resolve dispute before trial.
Mediation is one of the several Alternative Dispute Resolution scheme which litigants should consider to apply before issuing money claim or starting trial process. Mediation process is a negotiation between parties managed by neutral third party.
Court may ask the both claimant and defendant to provide evidences what type of ADR had been used. Practice Direction “Pre action conduct and protocols” warns that non-compliance with court rules and fail to use any of ADR schemes or mediation would affects on determination of costs by the Judge.
Mediation and ADR scheme shouldn’t be used as tactical tool to get an unfair advantage over opposite participant. Mediation should be considered as a reasonable step to settle a dispute.
Some mediation could cost money but its fee must be proportionate. Otherwise, expensive and proportionate mediation fee wouldn’t be recovered as part of the cost of the court claim.
Regardless of whether parties had sough assistance to resolve a dispute with any ADR scheme court asks the litigant to consider free confidential Small Claims Mediation Service provided by Her Majesty’s Courts and Tribunals Service:
Referral to the Mediation Service
26.4A
4) Where all parties indicate on their directions questionnaire that they agree to mediation, the claim will be referred to the Mediation Service.
This mediation is usually carried out by telephone in one hour time limited appointments convenient to the parties. There are no obligations to agree this type of mediation or settle a dispute if it was agreed by both parties. Litigants are free to refuse it if they have reasonable grounds.
Which cases is inappropriate for Mediation at allocation stage:
- road traffic accident
- housing disrepair claims
- personal injury
- Bank Charges disputes
- HM Revenue and Customs dispute
Useful links: