What to do next
Check whether your contract requires it
Many commercial contracts mandate mediation, or a staged process, before arbitration or court. Skipping a mandatory step can derail proceedings you later start.
Assess whether the other side will engage
Mediation depends on genuine willingness to settle. Where a party refuses to disclose finances, is using delay tactically, or there is a serious power imbalance, it may not be effective.
Prepare properly and bring authority
Come with your numbers, your evidence, and a clear sense of your best and worst alternatives. Ensure whoever attends can actually agree to a deal on the day, or the session wastes everyone's time.
Frequently asked questions
Does the mediator decide who's right?
No. A mediator is neutral and facilitates a negotiated agreement. Only arbitration or a court imposes an outcome.
Is what I say in mediation confidential?
Generally yes, and settlement discussions are typically protected from later use in court — though the precise scope depends on jurisdiction and the mediation agreement.
Do we have to reach agreement?
No. Mediation is non-binding until you sign something. If it fails you retain your litigation or arbitration rights.
Is it always cheaper?
Usually, because it avoids discovery and trial. You do pay the mediator, so very small disputes are not always cheaper.
This is general information, not legal advice. Laws vary by location and every situation is different — speak with a qualified lawyer about your specific circumstances.