Maritime Arbitration and Mediation

Mediation is a structured voluntary negotiation process in which a neutral independent person, known as a mediator, assists the parties to identify and assess options, and facilitates an agreement that may be reached by the parties to resolve their dispute. It is an alternative to a determination of the dispute by a Judge or arbitrator who imposes a decision on the parties.

The mediation itself is flexible and can be tailored to suit the circumstances of each case. Mediators may assist negotiations by asking questions, encouraging open joint discussion or through private sessions, offering different perspectives and expressing issues in alternative ways. Parties may be encouraged to identify and test the consequences of potential solutions. It is common for the mediator to meet with the parties jointly and separately, and further mediation sessions can be scheduled if necessary.

Generally, all maritime claims brought in the Court or Arbitration, regardless of their complexity or number of parties, are eligible to be referred to mediation. The following factors, among others, may indicate whether the dispute is particularly suited to mediation:-

(a) willingness of parties to participate in mediation;

(b) need for parties to find a way to preserve their relationship;

(c) existence of non-monetary factors;

(d) possibility for a negotiated outcome that better suits the needs and interests of the parties than a Judge or Arbitrator’s determination; and

(e) possibility that a Judge or Arbitrator’s determination will not end the dispute.

If agreement is reached about part or all of the dispute, the details of that agreement will usually be recorded and signed by all parties before the end of mediation. Once the agreement is finalised, the parties will normally notify the Court or Arbitral Tribunal of the settlement and proceedings will be discontinued by consent of the parties.

Mediation offers many benefits over a trial by a Judge or Arbitrator, including saving of time and costs as compared to a protracted litigation with appeals, flexibility in that parties have more control over the outcome, less formal and stressful than appearing in Court, confidentiality of the subject matter of the dispute is preserved, parties are more likely to be satisfied with the result and to comply with the settlement terms as agreed by all parties.

The Partners of the Firm frequently is called upon by the parties to act as a Mediator or to act as a counsel for a party in the mediation process involving maritime disputes.