Here’s How Contract Mediation is a Viable Alternative to Contract Litigation

As businesses grow, business contracts also become increasingly complicated. Find out how contract mediation is a viable alternative to contract litigation.

Here’s How Contract Mediation is a Viable Alternative to Contract Litigation

As businesses become more sophisticated and advanced, business contracts too, become increasingly complicated and litigious. Many business owners now insist on creating lengthy and comprehensive contracts that aim to cover all possible legal loopholes and place more responsibility on the other party to abide by the terms of the contract. More complex business contracts inevitably give rise to a higher number of contractual disputes.

Better Outcomes with Contract Mediation in Massachusetts

Progressive companies recognize that contract litigation can be extremely lengthy, contentious, and costly, resulting in a lose-lose situation for both parties. Civil mediation in Massachusetts, on the other hand, has shown far more positive results for solve contract disputes when compared to litigation.

By some estimates, more than 80 percent of the contract disputes that voluntarily go through the mediation process are resolved to the satisfaction of all parties involved. Even in the case of court-referred mediations, more than half are satisfactorily settled with the much-reduced burden of time and costs for the parties involved.

Greater Control over Cost and Risk

When businesses choose to work with a knowledgeable contract mediator in Massachusetts, their primary advantage is greater control over their costs and risk. Contract mediation will enable the parties to the dispute to arrive at their own solution (rather than an arbitration panel or a judge passing a ruling on their behalf). This ensures that the disputants remain in control of the proceedings throughout.

The costs and risks of business will almost always increase when a contractual dispute escalates from the level of mediation to litigation. With contract mediation in Massachusetts, the neutral third party keeps the disputants working with each other rather than against each other. The contract mediator will encourage continued negotiations and facilitate a collaborative approach rather than an adversarial approach for a settlement.

The costs of civil mediation in Massachusetts are often shared and only a fraction of the typical costs incurred in contract litigation. Similarly, the risks of all parties to the dispute increase substantially in litigation because someone else will resolve their dispute rather than the parties resolving it themselves.

Higher Degree of Compliance

Although contract mediation is generally a voluntary process, the final agreement can be binding if the parties so desire. The parties have no obligation to fulfill the mediation process till the end, but they usually agree beforehand that should the contract dispute get resolved, they will memorialize the resolution as a signed document. Where necessary, the parties may also get the document approved by the court.

History shows that when contract dispute resolutions are achieved through civil mediation in Massachusetts, the chances are higher than the involved parties will comply with the terms of the agreement without the need for legal intervention

Continuance of Business Relationship

A skilled contract mediator in Massachusetts will not only help the parties to the dispute arrive at a mutually acceptable resolution but also ensure that it is done in an environment of mutual respect. When unnecessary bitterness and emotional stress are taken out from the process, it could even pave the way for the parties could continue their business relationship for their own sake.

Contact a Dependable Contract Mediation Lawyer Today

Shapiro Mediation Services maintains the highest legal standards as a matter of substantial pride. The satisfaction of exceeding clients’ needs is of the utmost importance.  Call 617.765.1040 today to schedule a free consultation with one of our mediators at our Massachusetts or South Florida office, or contact us online