Better conflicts, Better outcomes, Better world

Model Early Neutral Evaluation
Agreement
Including guidance notes

Centre for Effective
Dispute Resolution
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

Model Early Neutral Evaluation Agreement
Introduction
Early Neutral Evaluation:• is quick, inexpensive and confidential;• is informal; and• produces a non-binding result that aims to provide an objective
and independent assessment of the merits of a case.
Early Neutral Evaluation differs from arbitration in that it is non-binding and has
greater informality. Unless the Parties agree that it should be, it is not subject
to “due process” and can therefore be more flexible. In particular there is noneed for a trial-type hearing. Unless the Parties agree otherwise, the Evaluator
may conduct investigations independently of the Parties, and make theRecommendation based on those investigations without reference to theParties. Parties should obtain legal advice when embarking on an Early Neutral
Evaluation, but do not strictly need to be legally represented during theprocedure.

1
Centre for Effective
Dispute Resolution
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

Model Early Neutral Evaluation Agreement
Text in Italics indicates where information has to be added.

Text in brackets indicates where a choice has to be made.
Please refer to the guidance notes for commentary on and help with thecompletion of this Agreement.
Date:Parties(“Party A”)(“Party B”)(“Party C”)(jointly “the Parties”)
Add full names and addresses(“the Evaluator”)
Centre for Effective Dispute Resolution Limited (“CEDR”)
of International Dispute Resolution Centre,
70 Fleet Street,London, EC4Y 1EU
Dispute(“the Dispute”)
Centre for Effective
Dispute Resolution
70 Fleet StreetLondon

2+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world
Here set out details of the contract(s) or other legal relationship(s) and brief details of thedispute(s) to be resolved by Early Neutral Evaluation.

1. Appointment of Evaluator
CEDR has appointed the Evaluator to provide a non-binding recommendation on
the Dispute.
2. Purpose of Early Neutral Evaluation
Unless the Parties subsequently agree otherwise, this Early Neutral Evaluation
leads to a non-binding Recommendation ("the Recommendation") being issuedby the Evaluator.
3. Confidentiality
The Early Neutral Evaluation process is private and confidential. The Parties, theEvaluator and CEDR will keep the matter entirely confidential except as isrequired by law.
4. Independence
The Evaluator and CEDR are independent of the Parties, neutral and impartial,
and do not act as advisers to the Parties.
5. Conduct of Early Neutral Evaluation
The Evaluator will conduct the Early Neutral Evaluation in accordance withprocedural directions, which the Evaluator will seek to agree with the Parties. Ifthey cannot be agreed, the Evaluator’s directions will prevail.

3
Centre for Effective
Dispute Resolution
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

5. Mediation Option
At any time before the issue of the Evaluator’s Recommendation the Parties may
agree to refer the Dispute to mediation, in accordance with CEDR’s Model Mediation
Procedure. In that case each of the Parties notifies the Evaluator and CEDR, and theEarly Neutral Evaluation is suspended. If the Dispute is settled by mediation, the Early
Neutral Evaluation comes to an end and the Parties settle the fees and expenses ofthe Evaluator and of CEDR. If the Dispute is not settled by mediation, the Early Neutral
Evaluation resumes.
6. Reasons in the Recommendation
The Recommendation of the Evaluator [shall/shall not] include reasons.
7. Fees and Expenses
Unless the Parties agree otherwise, the fees and expenses of the Early Neutral
Evaluation will be borne by the parties in equal shares. The fees and expenses will be
estimated by CEDR and paid to CEDR as a condition precedent for the Early Neutral
Evaluation to start. The Evaluator will be paid fees and expenses. Interim bills may beraised by CEDR to cover the Evaluator’s fees at the Evaluator’s option. A final accountof the fees and expenses will be sent to the parties by CEDR when theRecommendation is ready for issue to the Parties and the Recommendation will bereleased on payment by the Parties of any further amounts due. CEDR will reimburse
the Evaluator. If the Parties agree not to proceed with Early Neutral Evaluation, CEDR
will refund a proportionate amount of the fees and expenses advanced, depending on
the amount of work done by the Evaluator and CEDR.
8. No Liability
The Parties expressly acknowledge that neither the Evaluator nor CEDR shall be liable
to the Parties for any act or omission whatsoever in connection with this Early NeutralEvaluation.
9. Role of CEDR
CEDR appoints the Evaluator. The Evaluator is responsible for the procedure from thenon. CEDR may be consulted by any of the Parties to this Agreement in case ofdifficulty. Should the Evaluator be unable to complete the task, CEDR will appoint a
substitute Evaluator within a reasonable time.
4Centre for Effective
Dispute Resolution
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

After the Recommendation
None of the Parties will call the Evaluator or CEDR (or any employee, consultant,officer or representative of CEDR) as a witness, consultant or arbitrator in any
litigation or arbitration in relation to the Dispute and the Evaluator and CEDR will
not act voluntarily in any such capacity without the written agreement of all theParties.
Law and Jurisdiction
This Agreement shall be governed by English law and under the jurisdiction ofthe English courts. All the Parties to this Agreement agree to refer any disputearising in connection with it to mediation first.

Signed on behalf of Party A

Signed on behalf of Party B

Signed by the EvaluatorSigned on behalf of CEDR

5Centre for Effective
Dispute Resolution
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

Guidance Notes
Essential Information
The CEDR Model Early Neutral Evaluation Agreement includes CEDR as well as
the Parties to the Dispute and, of course, the Evaluator. The role of CEDR is
defined in paragraph of the Agreement.
The section Dispute, when completed, sets out how the dispute arose with abrief description of the issue(s).
Paragraphs and establish the appointment of the Evaluator, that the process is
Early Neutral Evaluation, and that the result is a Recommendation which will be
non-binding on the Parties.
Paragraphs and establish the confidentiality of the process and theindependence of the Evaluator and CEDR.
The Procedure
Once appointed, the Evaluator will wish to establish the procedure. Paragraph 5
states that the Evaluator will seek to agree the procedure with the Parties, andthat if agreement cannot be reached, the Evaluator’s directions will prevail.
Procedural directions may deal with any or all of the following:• a timetable for the submission of case summaries and supporting
documents to the Evaluator with copies to each other;• whether submissions are to be simultaneous or sequential;• whether there should be one round or two rounds of submissions;• whether the Evaluator has the power to call for documents; or• whether the Evaluator has the power to award costs.
Mediation Option
Paragraph 6 provides that the Parties may agree to refer the dispute tomediation at any time before the Recommendation is made, provided the feesand expenses to date are paid, and that CEDR will organise the mediation.

6Paragraph 8 deals with fees and expenses, some of which are payable inCentre for Effective
Dispute Resolution
advance.
70 Fleet StreetLondon+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019

Better conflicts, Better outcomes, Better world

Reasons in the Recommendation
Paragraph gives the Parties a choice as to whether to include reasons in theRecommendation. The inclusion of reasons increases the cost, but may makethe resolution of the Dispute by this means more attractive and therefore
worth the extra cost.
Fees and Expenses
Paragraph 8 deals with fees and expenses, some of which are payable inadvance
No Liability
Paragraph gives immunity from liability to the Evaluator and CEDR.
Role of CEDR
Paragraph explains CEDR’s role, in making the appointment and otherarrangements, and collecting the fees and expenses.
After the Recommendation
Paragraph ensures that those involved in the Early Neutral Evaluation do not
get involved in future proceedings without the consent of all the Parties.
Law and Jurisdiction
Paragraph 12 establishes English law as the governing law of the Agreement,with disputes referred first to mediation and then to the English court. It may
be necessary in international cases to provide that the language of the Early
Neutral Evaluation is to be English.

7
Centre for Effective
Dispute Resolution
70 Fleet Street
London+44 (0)20 7536 6000

Twitter @cedrsays

www.cedr.com

linkedin.com/company/cedr

info@cedr.com

EC4Y 1EU
Registered in England no. 2422813

Registered Charity no. 1060369© CEDR 2019