Commercial Mediation or Dispute Resolution

There are a number of very good reasons to mediate.
Costs sanctions are likely to be imposed by the court faced with a refusal to mediate.
Turners were the Claimant's solicitors in the reported case of Burchell v Bullard. The case involved a small building claim and the builder sought advice from Turners. Sally Carmichael was the conducting Solicitor who at the time was a Partner with Turners. Sally is now a self employed Consultant working with Turners. The builder sued for fees due in respect of work done and, as usual, the case was defended on the basis of complaint by the owner as to the quality of work. A large number of small defects were raised by the Defendants. Before issuing proceedings Sally had advised her clients to offer mediation to resolve the case. Such offer was rejected out of hand by the Defendants. The Court found that the Defendant was wrong to reject mediation. The case was taken to the court of appeal on the matter of costs.

On hearing the appeal Lord Justice Ward was reluctant to penalise the Bullards on costs because their refusal to mediate pre-dated major cases on the subject. However Lord Justice Ward stated that “a small building dispute is par excellence the kind of dispute which … lends itself to ADR
Lord Justice Ward made it clear that in future, defendants “can expect little sympathy if they blithely battle on regardless of the alternatives”. He said:
“Mediation has established its importance as a track to a just result running parallel with that of the court system. Both have a proper part to play in the administration of justice. The court has given its stamp of approval to mediation and it is now the legal profession which must become fully aware of and acknowledge its value. The profession can no longer with impunity shrug aside reasonable requests to mediate. The parties cannot ignore a proper request to mediate simply because it was made before the claim was issued. With court fees escalating it may be folly to do so.”
Burchell v Bullard [2005] EWCA Civ 358

Solicitors in our Litigation Department have experience of conducting Mediations along with Sally Carmichael who is also a trained CEDR accredited mediator.

You can instruct Sally as an independant Mediator to Mediate your dispute, her details follow.

Sally Carmichael
Personal CV
Sally Carmichael was admitted as a solicitor in 1980 and since admission has specialised in civil litigation. Increasingly that has narrowed so that the majority of her work now is for clients involved in property development, including national development businesses, building contractors of various sizes and property investors, particularly in the field of commercial properties. Sally's clear and logical approach to her work focuses on finding a swift solution to the clients' problems. Brought up in a business world, Sally understands that her clients want to get on with making money; they do not want to pay lawyers fees unless they have to. Time is always money in business.
It was frustration with the legal system that led Sally in 2003 to qualify as a CEDR mediator. She has since that time been involved in many successful mediations. Sally says of mediation "I have been amazed how well the process works. The mediation process helps the parties see the advantages of settlement and the versatility of settlements that can be negotiated"
How does mediation work?
A mediator is some one who helps the parties reach a settlement. The mediator does not make any decision.
Mediation is a confidential process where the free exchange of information and the help and guidance of the mediator enables the parties to achieve a better understanding of their own case, the other party's case and the possible risks of litigation or other dispute resolution.
Any information exchanged in mediation must remain in confidence and cannot be used, save with consent of all parties, in any subsequent litigation. This often enables parties to exchange information, which is so often held back in the confrontational process of litigation. It also enables parties to express their emotions.
So often parties involved in litigation tell us "it is the principle", "I can't let him/her get away with it". Mediation lets such people truly have their say in an environment where little damage can be done but much can be achieved by making others fully aware of one party's feelings.
As such, the mediator must reach an early understanding with the parties and have their confidence.
The parties attending mediation may attend with legal or other advisors or on their own. They should be aware however that the mediator does not offer legal or accountancy advice and therefore the parties should ensure that they have taken, or have access to, such advice as they may require.
It is essential to the process that the person attending the mediation on behalf of both parties has the full authority to settle the claim and that the sanction of some third party, such as other directors, is not required.

Guide to Mediation fees
Professional fees incurred in and during the mediation process can vary depending upon the charges of the appointed Mediator and the venue. The guide below will assist you is estimating the cost of mediating your dispute. As general rule the fees referred to below are those charged by Sally Carmichael if she were appointed to mediate your dispute, on the other hand they are a helpful indication of what other mediators will charge in similar circumstances.
In addition to the charges of the mediator each party has to pay their own solicitors fees for preparing the case for mediation and attending the mediation itself. Where other third parties are required then the party requiring the attendance of a witness or expert will be responsible for the fees of that witness.
A mediators charges are calculated as follows.
1. A local half day mediation: Sally Carmichael is based in Boumemouth and local is anywhere within a radius of 4fourty five miles. Often half a day is enough.
Fee £750 per party plus vat
2. One day mediation involving less than £500,000 and less than 5 hours reading in:
Fee £2,500 - £4,000 plus vat per party (depending on travelling distance and complexity)
3. One day mediation involving greater sums, more than two parties or more than 5 hours reading in:
by arrangement
4. All travel and accommodation expenses are chargeable in addition at net cost plus vat. Likely expenses will be advised in advance.
5. The parties will pre arrange, book and pay for the venue.
6. Fees are payable in advance on presentation of invoice.
7. Cancellation charges: 50% of the fee will be payable if cancelled less than 7 days prior to the mediation.
8. Sally Carmichael is as a Solicitor and self employed Consultant with Turners Solicitors LLP. Professional Indemnity Insurance is covered through her arrangemnt with Turners Solicitors LLP
The above is as indicated only a guide. Call Sally Carmichael on 01202 291291 for more information if you wnat to appoint her to Mediate your dispute. If you want advice on mediation or want to instruct one of our qualified solicitors to represent you in that process then see our people and our web site.

Terms and Conditions of Appointment.
We set out below the terms and conditions applicable to the appointment of Sally Carmichael as a mediator. These terms and conditions are entirely separate to the terms or your own Solicitors retainer and the fees of any witnesses or experts
1. Payment of the Mediators fee is required in advance of the mediation.
2. Interest on unpaid fees and expenses will be charged at 7% per annum until payment.
3. In the event of non payment by one party, the mediator reserves the right to:
3.1 Cancel the mediation on 24 hours notice
3.2 Charge both parties a cancellation fee
3.3 Return the balance to the paying party.
4. It is the responsibility of the parties to ensure that adequate facilities are pre booked, this will normally be three rooms, one larger than the others, and to provide such additional equipment as the mediator will request.
5. The mediator reserves the right to terminate the mediation at any time, if it becomes apparent that the matter under mediation amounts to an illegal contract, or is in any way tainted with criminality. The mediator has an absolute obligation under The Proceeds Of Crime Act 2002 to report to the National Crime Intelligence Service any knowledge or suspicion relating to the proceeds of crime and is precluded by law of informing the parties of his or her intention of doing so.
6. No tape recording of the process will be permitted under any circumstances.
7. The mediator cannot be called to give evidence as to what occurred at a mediation.
8. All parties agree that the process is confidential and that no party will use in evidence any information or documents gained in the mediation process.
9. Once an agreement is reached, it will become binding only when reduced to writing and signed by or on behalf of the parties.
10. It is the responsibility of the parties, or their legal advisors, to ensure that the mediation agreement contains all the terms agreed between the parties and is enforceable as they wish. The mediator has no responsibility in relation to the same notwithstanding that the mediator may have made any suggestions or comment thereon designed to help the parties achieve their embedive.
11. The parties agree that the person, or persons, representing them at the mediation are able to bind the parties and have full authority of the disputing parties to settle all and any claims made.
12. Not later than 48 hours prior to the mediation the parties shall exchange and submit to the mediator, mediation statements and a bundle of all documents that they may wish to refer the mediator to during the course of the mediation.
13. The mediator may speak to one or other parties prior to the mediation meeting. All such conversations shall be confidential.

 

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