Business Mediation

Business Mediation is a process between conflicting sides over the interpretation of an agreement, be it a sales agreement, a distribution agreement, an agency agreement, a real-estate agreement, a consulting agreement, an investment agreement, a joint venture, partnership or other type of agreement.

Mediation is suited for business disagreements with service providers, clients, distributors, manufacturers, sellers or buyers, whether over payment of fees, the terms of a partnership, franchise or other type of commercial agreement.

The mediator is a neutral third party aiding the sides to end their conflict in a “win-win” manner.

When the sides are ready to reach an agreement, the process is led by the mediator using discretion and experience.

The mediator assists in the drafting of the agreement. Should the sides wish, the agreement is then presented to the court to be officially recognized as a verdict.

The mediation is not only a discrete process between the sides and the mediator, but also advantageous over an exposed court procedure.


Mediation Advantages Over Litigation in Court:

  • The Mediation process is fast. Disagreements between sides can harm a company and may create heavy financial losses in the long run. Therefore, resolving the conflict quickly is crucial.
  • The parties are equal partners to the solution. The mediation process will aid the sides not only to reach an agreement faster, but also to reach a creative solution which will serve the needs of both to their satisfaction in a WIN-WIN manner.
  • Mediation aims to maintain a good relationship between the parties or at least a "correct" one. Although the sides may ultimately choose to separate and annul their business partnership, it is important to maintain a positive relationship even after separation.
  • The parties must respect the agreement and its binding commitment. Since the mediation process is voluntary and the conflict is basically resolved by the sides themselves, they must abide by the agreement. This is opposed to a verdict that is given by the court and forced upon the sides.
  • The parties are partners to the solution and to the creation of the solution. They are therefore more committed to applying the agreement, which they have themselves reached
  • Mediation costs are less than litigation in court (which requires lawyers' fees and administrative court fees).
  • Mediation is a discreet procedure, compared to a court procedure which is public. Mediation takes place in a pleasant, calm atmosphere which enables the sides to speak directly and openly to each other. In mediation, there is also a possibility to meet separately with the mediator, as opposed to a the formal and public procedure in court.

Labor Law Mediation

Mediation is well suited to resolving labor conflicts since employer and employee have usually had a long-term relationship. Labor law conflicts can exist between a few employees in the same work place. The relationship between an employer and an employee is important both while they work together and when they separate.

Labor law conflicts are those dealing with termination of the labor relationship such as the firing of an employee, breach of contract and compensation.

Advantages of the Mediation Process Over a Court Procedure:

  • Mediation is usually faster and therefore more efficient.
  • Each party can express itself freely and in a pleasant atmosphere.
  • The parties are partners to the solution of the conflict between them and to the creation of the solution. They are therefore more committed to honoring the agreement, which they themselves have reached.
  • The procedure is secret and discreet, as opposed to an openly public law suit.

Mediation in Real Estate/Property

Mediation is well suited to resolving property conflicts between various people connected to a real estate deal, such as agents, owners, renters, workers and contractors, buyers, sellers and others. 

–  Conflicts between neighbors.

–  Conflicts between a landlord (owner) and workmen.

–  Conflicts between real estate agents.

–  Conflicts between a real estate agent and a landlord or a client.

–  Conflicts between a buyer and a contractor.

–  Conflicts between a house committee and the neighbors in the building.