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Is mediation the right way to resolve a business dispute?

When your business is involved in a dispute, this can be much more than just a frustration for you. You know this can cost you time and money, and you may be unsure of what you can do to protect the long-term interests of your company. Litigation is a possibility, but there could be other ways you may be able to resolve this dispute in a timely and cost-effective manner.

Mediation could be the right way for you to resolve your business dispute. This is a process that allows two contesting parties to work through disagreements, breaches of contract and other issues in a respectful and productive manner, eliminating the need for further litigation. Often, it leads to resolutions that are beneficial for both parties, which is not always the case in litigation.

Why consider mediation?

There are many reasons why you may want to consider mediation as a way to work through your current business dispute. Not only does this allow you more direct control over the terms of the outcome, but it also shields you from the stress that often comes with an adversarial court process. Other benefits of mediation include:

  • Can communicate directly with the other party.
  • Can choose to work on a remedy that is not a traditional legal remedy.
  • Takes less time to complete the mediation process, saving you money.
  • Allows you the ability to keep the terms of your agreement private
  • Gives you the ability to continue your relationship with the other party

These are only a few of the reasons why you may want to consider this method over others. Before you move forward with litigation, learn more about how this process can benefit your specific situation.

Potential drawbacks

There is no one-size-fits-all approach to mediation. While mediation may make sense in many situations, it is not always the best choice. Some of the potential drawbacks to this situation include the following:

  • Cannot force the other party to participate in the process
  • Not feasible for parties who are unwilling to discuss things or compromise
  • Can take a long time to complete mediation in particularly complex situations
  • May not work if the other party has certain types of company policies in place

Speaking with a California attorney experienced in dispute resolution and business law can help you understand how mediation could be the right choice for you. When the financial and legal interests of your company are on the line, it is worthwhile to explore all legal options before making any final decisions.

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