This ability to refer to mediation at any point means that cases are reaching settlement much earlier than usual, saving time, money and management costs. The average mediation settles within 1.1 days, and the saving per party is in the region of 86,000. One party even reported a saving of 1.5m. Confidentiality and flexibility are also features of mediation. As only the parties involved know that mediation is taking place, company names, information and reputations are kept intact.
Court cases can require the involvement of senior members of a firm for months on end.
Successful mediation also requires the key decision-makers of the parties to be present, but for a much shorter period of time. However, those that do not settle on the day frequently settle in the following week, when the parties have had time to reflect on the negotiations. If a case still ends up in court despite mediation, it is normally a much leaner and fitter case, with many issues having already been resolved at the mediation stage. Mediation does not apply to all disputes. As a general rule, cases of allegation of fraud are not applicable, nor are multi-party cases where the parties are not all fully in agreement for the use of mediation.