It focuses on problem-solving rather than placing blame, and thus gets away from an unproductive battle to prove who's right or wrong. It's flexible and creative. Because the solutions are tailor made for the particular situation, there is a high likelihood that they will be lived up to and will last. The participants learn communication skills and methods to avoid future conflict, so that your job as an RA may be easier in the long run. There is little risk.
Agreements are voluntary.
In the case of an impasse, all appropriate legal and procedural options, such as the judicial system, are still available. You will have to use your own good judgement about when it makes sense to make a referral to campus mediation. However, mediation may be particularly appropriate and helpful in situations where you feel as though you have hit an impasse and have been spending a lot of time on particular individuals with little visible behavioral improvement. You may feel that the uncontrolled conflict is putting you are at risk of losing credibility with residents or with other staff. You may just be fed up with the situation.