Cross-border mediation

Mediation involves a neutral third party (the mediator) who seeks to facilitate the parties’ efforts to resolve their dispute by agreement.

Resolution of the dispute depends on the parties reaching agreement; if the parties fail to reach agreement, the mediator does not impose a resolution.

The mediator, unlike the arbitrator, does not propose any solution to
the parties’ disputes, but simply facilitates the parties’ amicable discussion, helping them to reach a settlement agreement.

Settling disputes and disagreements through court is not only costly and time-consuming, it can also destroy profitable business relationships. Cross-border cases are more complex due to different national laws and jurisdictions as well as practical matters like cost and language. Alternative dispute resolution (ADR) through impartial mediators can address these problems and build constructive solutions.

The EU Mediation Directive applies when two parties who are involved in a cross-border dispute voluntarily agree to settle their dispute using an impartial mediator. Member States are to make sure mediated agreements can be enforced.

According to a recent EU-funded study, the time wasted by not using mediation is estimated at an average of between 331 and 446 extra days in the EU, with extra legal costs ranging from €12,471 to €13,738 per case.1

Mediation can solve problems between businesses, employers and employees, landlords and tenants, or families, so that they can maintain and even strengthen their relationship in a constructive way – a result that cannot always be achieved through court proceedings.