The advantage of attending mediation is that it is a non-binding process. This means that the parties cannot force each other to enter into an agreement or resolution. Rather, the parties must voluntarily accept any resolution. In the event that the parties do not resolve any dispute that arises out of or relates to an agreement within fifteen (15) calendar days after the first meeting of the negotiating teams, they will attempt in good faith to resolve such dispute through non-binding mediation in accordance with the Commercial Mediation Rules of the American Arbitration Association.
The mediation will take place within thirty (30) calendar days following the end of that negotiation period. Any agreement reached through mediation will be recorded in writing, signed by the parties and will be binding on them. It is possible for a mediation agreement to be specifically enforceable under a contract or under another law. District courts also have an inherent and discretionary authority to issue suspensions in many circumstances, and it is often appropriate to grant a stay to allow (or require) mediation. In some cases, mandatory FAA resources can be invoked to compel mediation. If you decide to use the binding mediation process, make sure that the mediator has the necessary technical and substantive knowledge to make a fair and equitable decision if asked to make that final and binding decision.
Prior to the date of the mediation hearing, the Corporate Secretary will contact the party (or parties) to determine if they wish to follow any recommendations from the selected mediators for the resolution of the disputes. In the construction industry, material suppliers, service providers, and other industries related to construction also use binding mediation as it is a fast and cost-effective method of resolving minor disputes that occur during the construction process. The defendant in Heston may be able to enforce the mediation requirement by requesting the arbitrator to dismiss or stay the action until required mediation is completed.