The role of a mediator in construction disputes

Mediation is an alternative method of resolving a dispute that does not involve litigation in the courts. It is recommended by many solicitors as it provides the parties to a dispute with a potentially cheaper and faster solution than a court decision. It is also a private process, which is favourable for many parties to a dispute as they do not want their problems made public. Mediation can be used in many circumstances, for example family disputes and commercial disputes. It can also be used in construction disputes.

Mediation involves the two parties to a dispute engaging in face-to-face discussions in a neutral environment. A mediator is an independent third party who is present at these discussions. Their role is to structure the discussions and to maintain the calm and unthreatening atmosphere. A mediator can offer suggestions, but their main role is to encourage the parties to reach an agreement by themselves.

Any agreements reached in mediation are not legally binding. If the parties wish to make an agreement legally binding, the mediator will write up the agreement for the parties’ solicitors to examine and formalise.

Mediators who specialise in construction mediation may be former construction industry employees with a unique understanding of the industry’s norms and practices. They may also be mediation solicitors with expertise in the areas of law that relate to construction. Mediators cannot offer legal advice, however an understanding of the relevant law can help the mediation process.

Mediation allows the parties to a dispute to maintain a professional working relationship. This is especially important in the construction industry as many developers will prefer to work with the same construction firm they have successfully worked with in the past.

If mediation fails to resolve the construction dispute, the parties can try arbitration or court litigation. Even with the help of a specialist mediator, construction disputes can only be resolved through mediation if both parties are willing to co-operate and take the process seriously.

If you would like to obtain legal advice on mediation, Contact Law can put you in touch with a local commercial / construction solicitor free of charge. So, if you have any questions or would like our help in finding local commercial / construction solicitors please call us on 0800 1777 162 or complete the web-form above.