Mediation is a process where parties in a dispute mutually agree to talk in hopes of finding a solution to their dispute. The process requires an impartial and respected third-party to facilitate the discussion. This person is called a “mediator.” Having no stake in the outcome, the mediator can help each party understand the point of view of the other, and move the parties in the direction of an agreement. More times than not, the agreed-to solution leaves each party with slightly less than they wanted at the outset, which is the essence of compromise.
Everyone understands an involved legal process can quickly get expensive and contentious. That translate to time and money. So, if both parties believe reaching a solution is more important than just “winning,” there is a good chance mediation can generate a successful outcome.
Why Does Mediation Work So Well?
Everyone’s mediation experience is different, but mediation often works well for many of the same reasons:
1. A Mediator is a Neutral Go-Between
Most mediators have experience with negotiation, dealing with conflict, and communicating effectively with people during times of stress. He or she controls the conversation so that communication between the parties is productive.
2. Everyone Has the Same Goal in Mind
Ultimately, every party involved has the same goal (assuming they are taking the process seriously), and that goal is to find agreement. The individuals who make the decisions or control financial decisions are either at the mediation themselves or the person at the negotiation has a direct line of contact with them, so decisions can be made quickly.
3. The Mediator Can More Effectively Explain Your Position
Parties can also communicate their arguments or positions to the mediator, who in turn can present that perspective to the other side. The mediator can take the emotion out of many of the issues, especially when the arguments are heated or the parties are particularly passionate about their perspective.
4. The Parties Create a Solution That Works for Them
The core idea of mediation is the disputing parties mutually create a solution. Contrast this with settling the dispute in a court, whereby a judge or jury end up making the decision for the parties.
Tennessee Valley Group, Inc. provides mediation services for any disputes involving the transition of a business. Watch our short video to learn more.
Tennessee Valley Group
Latest posts by Tennessee Valley Group (see all)
- Enterprise Value Includes Asset Value - July 25, 2022
