WHAT IS MEDIATION?
Commercial mediation is extended and assisted negotiation. In mediation, a neutral third party (= a mediator) assists parties to end the dispute.
Pirita's approach to mediation is different from others in the Nordic countries and in Europe. Pirita brought business-oriented mediation, used in high-profile commercial disputes in the US, to the Nordic countries and Europe. This mediation process is a business-oriented and structured negotiation process, in which companies and public entities are able to explore the best possible negotiated outcome for their dispute.
WHEN TO USE MEDIATION?
You can use mediation at any time in your dispute. However, the best time to use the type of mediation Pirita applies, is to use it instead of traditional negotiations or at latest, when your own negotiations are getting lengthy, they are stuck or have failed.
WHAT ARE THE ADVANTAGES OF MEDIATION?
In brief, time and money. In detail, if a case is settled through mediation, parties
save money used in lengthy negotiations, court proceedings and arbitration;
dispute is solved quickly - it usually takes one day and short preparation to mediate a dispute in comparison to lengthy negotiations and years of litigation and arbitration; and
parties decide the outcome of the dispute. Thus, the decision-making power is not given to the mediator (unlike the decision-making power is given to a judge/arbitrator in court proceedings/arbitration).
For these reasons, mediation is an excellent way to manage risks concerning the outcome and also expenses. In addition, important business relationships are saved. Everything remains confidential.
Further, unlike in other mediation processes, in the mediation process Pirita applies, parties are able to test the best possible negotiated outcome for their dispute.
HOW IS THE MEDIATION PROCESS?
This always depends on the individual mediator. The common phases in mediaton are:
1. Signing the agreement to mediate.
3. Mediation day.
4. Signing the settlement agreement during the mediation day.
IF I WANT USE MEDIATION, WHAT SHOULD I DO?
An in-house lawyer should call the oppposing in-house lawyer / CEO and invite them to an introductory meeting on mediation with me. This invitation is not presented through possible attorneys. In this meeting, I will tell about mediation I apply, its benefits and the process. Everyone can ask questions. Nothing needs to be agreed on or committed to in this meeting.
Suggesting mediation otherwise to your opponent is most likely not going to be successful.
Please contact me for further information.
ARE MEDIATED SETTLEMENT AGREEMENTS ENFORCEABLE?
Mediated settlement agreements can be declared enforceable by a competent court (concerning Finland, see Act on Mediation in Civil Matters and Confirmation of Settlements in General Courts (394/2011) and concerning EU, see 2008/52/EC). Settlement agreements can be also confirmed in an arbitral award for enforcement purposes.
NOTE. Even if parties would have agreed to solve the dispute in arbitration/in public courts, if mutually agreed, parties can end the dispute in mediation.