What Creative Solutions can be Used for Mediation of Contract Disputes?

What Creative Solutions can be Used for Mediation of Contract Disputes?

Mediation is particularly helpful in certain contexts when the parties have an established relationship that they want to preserve, such as in family disputes or disputes involving business people. Mediators use conflict resolution skills to help the parties understand the other side better and to communicate in a respectful way with the eventual hope of settling the case. Part of this process involves brainstorming creative solutions that can resolve the dispute. The parties are able to come up with nearly any solution that works for them and are not limited to typical judicial remedies. Some possible solutions include:

Revising the Contract

There may be issues that have arisen that were not originally contemplated at the beginning of the contract. The parties may decide to revise the contract to account for these changes. They may decide on a new level of compensation, scope of work or other details involved in the case. A mediator can walk through the issues that have arisen and help the parties consider different options to resolve their dispute so that they both leave with a mutually satisfactory agreement.

Making a Trade

The parties may be able to make an important trade off. Mediators can help uncover the underlying interests of the parties. By exchanging one thing of value for another can often help the parties both walk away satisfied with the result.

Alternative Forms of Compensation

Many business disputes reach a stalemate because neither business person wants to pay more money. However, during a brainstorming session, one possible solution is to provide alternative forms of compensation. This may include offering stock options, profit sharing, a new contract, a recommendation, services in line with the typical offerings of the business or something else that may not be a direct payment of cash from one business to the other.

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MEDIATOR OF THE MONTH: Jeffrey Grayson
What Creative Solutions can be Used for Mediation of Contract Disputes?