4 Benefits of Choosing Mediation Over Litigation

When two parties disagree about the legal implications of a contract, agreement for services, or another issue, they may need to call in legal counsel to address their dispute. Unfortunately, this type of disagreement regularly leads to formal litigation.

It’s no secret that litigation is extremely time-consuming and expensive. While it is sometimes necessary to resolve hotly contested disputes, other options, including mediation, may actually work much better for your construction law or business law dispute. Below are just a few reasons why this might be the case.

1. You can create a unique solution that fully addresses the dispute at hand.

The most common form of damages in a legal case is money. This is, in large part, because it is difficult to easily create other remedies beyond cash. Contract reformation or intangible damages (like asking a contractor to re-do some work) may not always be possible in a legal case. However, you can craft that kind of remedy in a mediation.

You can also create unique solutions that a judge may not be able to do—such as trading work, setting up payment plans, or setting up discounts on future work. The type of solution that you can develop with the other party in mediation is expansive, and many parties like that kind of flexibility.

2. It’s faster and more finalized.

If you start litigation, there is a real possibility that you will not get on the court’s calendar for over a year. Even after you go through a trial, you may have to wait for an appeal as well. In many situations, those can take another long year of waiting.

In contrast, mediation can be scheduled whenever it is convenient for the parties. The outcome that you and the other party agree upon cannot be appealed, and it can go into effect immediately if you would like.

3. It is much more cost effective.

Where there is certainly a wide range of activities you need to do to get ready for mediation, the preparation for this type of proceeding is far less formal and time-consuming compared to a trial. That means that you will often pay less in legal fees for the preparation.

Many mediations can be completed within a few hours or in a day. This is true even in cases that would have taken several days to present to a judge or jury. Taking less time on this process can save you thousands of dollars in legal fees.

4. The process is less hostile and more effective.

Studies indicate that those who participate in mediation are more likely to be happy with the overall outcome of their cases. They feel like they contributed to getting the matter finalized and they often have a much better result that works well for everyone.

If you have a construction or business dispute, jumping right into litigation may not be a good answer for you. Talk to our team at Alder Law about whether mediation might work better for your particular situation.

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