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Business Dispute Mediation
Why Mediating Business Disputes Works
- The Parties Remain in Control - in a confidential, informal and flexible process; parties given the opportunity “to be heard”
- Mediation is More Affordable - and is often faster than other ways of settling business disputes and making decisions
- Mediation is Future Oriented - the focus is on how people want things to be in the future (what they can influence) rather than on the past (what they can’t change)
- Mediation Inspires Creativity - parties can safely explore more options and possibilities - collaboratively
- Mediation is Positive - does away with “blame games”; the goal is to move towards “interests” and away from “positions”
Current Trend in Mediation
American Bar Association Study “What is clear is
this: those hiring mediators need to be thoughtful about what sort of knowledge or expertise they really need, or do not need, in a mediator, and they need to be clear with a mediator candidate about that as well; similarly,
mediators need to be candid about their experience level as well. As the field continues to grow, one of the trends is likely to be increasing - specialization on the part of mediators.”
Source: ABA Section of Dispute
Resolution Task Force on Inproving Mediation Quality (April 2006 - February 2008)
Darrell V. Arne
Business Mediation Specialization
Contractual Disputes:
- Brokerage/Listing Agreements
- Business Purchase Agreements (asset/stock)
- Buy/Sell Agreements
- Financing Agreements (debt/equity)
- Franchise Agreements
- Insurance Policies (business interruption)
- Merger Agreements
Contested Wills (involving a business) Dissenting Shareholder Suits
Domestic Relation Cases (involving a business) ESOP Fiduciary Liability Cases Family Business Disputes Lender Liability Cases Lost Profits/Value Cases (involving a business) Partner/Shareholder Disputes
Professional Liability (CPAs/Appraisers/Brokers)
Darrell V. Arne Mediation Style & Process
Styles: Facilitative and Evaluative (if requested)
Mediation Process:
- Initial Meeting - clear any conflicts; confirm with legal counsel and the parties the Style of mediation assignment requested and the Mediation Process (customized); agree on cost
- Mediation Terms - Mediation Agreement terms are spelled out; parties, legal counsel and mediator sign the Agreement; mediator paid a retainer
- Pre-mediation Evaluation (if requested) - mediator gathers and analyzes information in preparation for the mediation; may include interviews with the parties (approval of ex parte communication)
- Mediation Session - all sign Confidentiality Agreement,
opening statements (if desired), joint session, individual caucuses (if needed), parties collaborate in developing solutions
- If a Settlement is Reached - Settlement Agreement terms are written up and signed by the parties, legal counsel and the mediator
- If a Settlement is Not Reached - summarize what progress was made; discuss with parties and legal counsel the possibility of a follow-up mediation session
Articles written by Darrell Arne relating to Business Mediation:
The CPA as a Court Appointed Expert: Opportunities and Challanges, CPA EXPERT, American Institute of CPAs, Winter 1995; Bar Journal (Reprint), State Bar of New Mexico, May/June 1996
Alternative Dispute Resolution Opportunities for the CPA, The CPA Management Consultant, American Institute of CPAs, Spring 1993
Straight Answers to Business Appraisal Questions, The
New Mexico Lawyer, April/May 1993
Client-Attorney-Business Appraiser: The Meeting of the Minds at the Start of a Business Valuation, Bar Bulletin, State Bar of New Mexico,
October 12, 1989
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