Why Use Mediation in Construction Disputes:
Mediation is a highly flexible and confidential form of Alternative Dispute Resolution (ADR) which takes place outside of court. In essence, it is a process of negotiation facilitated by a neutral third party (the Mediator).
Anything discussed or exchanged between the parties as part of the Mediation process is subject to “without prejudice” privilege, and as such cannot be disclosed to a court or tribunal. The mediator does not produce any form of “decision” and nothing that is said or done is binding upon the parties, unless and until they resolve their differences and reflect that in a settlement agreement.
The purpose of Mediation is that sufficient trust and confidence is re-built between the parties to allow them to arrive at an agreed compromise of their dispute.
Mediation is faster and less expensive than Litigation or Arbitration. Mediation can be used while Litigation or Arbitration is ongoing or while the project is still being constructed.
Mediation sessions usually take no more than a day or two, compared to a court trial or arbitration hearing that can take weeks. Mediations can be scheduled as soon as the parties are ready, while Arbitration hearings and court trials often take years to be scheduled. This time advantage is particularly important when the Mediation takes place while a project is still under construction because resolution of disputes clears the way for more cooperation between the project participants.
Advantages of Mediation in Construction Disputes:
- The principal advantage of mediation is that if successful, it avoids the high costs and lengthy process otherwise associated with bringing, or defending, court proceedings.
- Another core benefit is that mediation can be introduced at any time, making it useful for avoiding escalating conflicts. Thus, mediation also helps to preserve working relationships, as well as facilitating amicable terminations.
- Parties retain a significant level of autonomy and have a much higher degree of control over the proceedings and the settlement than would otherwise be achieved in court proceedings.
- The presence of a neutral third party allows each party’s understanding of their case to be tested, providing the opportunity for parties to re-evaluate their approach and, where appropriate, to consider various alternatives.
- Mediation proceedings are generally conducted “without prejudice”, which means that the documents produced for mediation cannot be disclosed in later proceedings and a party cannot rely on what was said by the other party, or mediator, if the case does not settle.
- Parties can request various actions, including restructuring of existing contracts, structured payment terms and even apologies. Mediation is often successful as it considers the personal and commercial interests of both parties.
Speak to Our Construction Dispute Lawyers Today
If you are facing a dispute on a construction or engineering project – or want to reduce the risk of one developing – early legal advice is critical.
Contact Hawkswell Kilvington Construction Law today on +44 113 543 6700 to speak with one of our expert construction solicitors, or use our contact form to request a consultation.
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The Hawkswell Kilvington Construction team consists of legal experts with extensive experience in the sector. Our lawyers are recognised for their knowledge and dedication to supporting construction businesses, and are ready to provide strategic advice on any construction-related matters.
Daniel Silberstein
Partner
Thomas Salter
Partner
David Spires
Partner
Gary Ashton
Partner
Rachel Heald
Partner
Ben Mellors
Partner
Matthew Leonard
Partner
Jonathan Robson
Legal Director
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Contact us today for trusted guidance through construction mediation. We focus on resolving disputes amicably, preserving relationships while protecting your business and legal interests.
