What is mediation in dispute resolution?

Mediation is a form of amicable resolution of disputes between two or more parties with the aid of a licensed mediator assisting the parties in reaching an agreement. It is a voluntary process, used only subject to the agreement of all the parties involved. In mediation, unlike the court procedure, the interests of all parties involved are the only guiding principle in finding an amicable solution. Throughout the entire mediation process, the parties exercise complete control. Mediator therefore guides the parties through the process, while the parties control the outcome of the process.

Why choose mediation over court action?

Court procedures may be too long, too costly and inefficient vehicles of protection, offering parties no certainty as to the outcome.

The Law on Mediation in Dispute Resolution (“Official Gazette of RS“ No. 55/2014) allows the parties to arrive at a compromise dispute resolution through negotiations with the active participation of a skilled licensed mediator, and thus avoid court proceedings. Mediation is voluntary, based on the principle of equality, and allows the parties to take part in outlining and defining the final solution. At the same time, the mediation process is informal, fairly brief and confidential, and the parties can reach a compromise solution within a reasonable time, whilst protecting the confidentiality of their business and preserving their reputation.

Advantages of mediation

SPEED AND COST-EFFECTIVENESS – Mediation is a fast and efficient procedure protecting the interests of all the parties involved. While court procedures may take years, mediation as a rule achieves a resolution of the dispute within 60 days, and the costs are comparatively smaller. In case of successful mediation during the court proceedings, parties may be exempt from certain court or administrative fees.

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Translation: Vojislava Katić

Ljubica Tomić

Attorney at Law | Managing Partner

TSG Lawyers