Hybrid Mediation /Arbitration
Med/arb, is short for a process known as "mediation-arbitration.," It is a hybrid dispute resolution process that combines elements of mediation and arbitration, a method used to resolve conflicts and reach a final decision when mediation alone fails to produce a settlement.
In a med/arb process, the parties involved in the dispute first attempt to resolve their issues through mediation. A neutral third party, the mediator, facilitates communication, helps identify areas of agreement, and assists the parties in reaching a mutually acceptable resolution. The mediator does not have the authority to impose a decision on the parties.
However, if the mediation is unsuccessful and the parties are unable to reach an agreement, the process transitions into arbitration. The mediator now takes on the role of an arbitrator, who acts as a decision-maker. The arbitrator will hear the arguments and evidence presented by each party and render a final and binding decision, similar to a judge's decision in a court proceeding.
The transition from mediation to arbitration can happen automatically based on a predetermined set of conditions or it can be initiated by the parties and counsel if they agree to proceed to arbitration after unsuccessful mediation. Sometimes arbitration will immediately follow mediation the same day, or the arbitration may be scheduled for another day to allow parties and counsel more time to prepare.
Med/arb has the advantage of offering the benefits of both mediation and arbitration. It allows the parties to attempt a consensual resolution through mediation while also providing a clear path to a binding decision if mediation fails. It can be a more efficient and cost-effective process than pursuing mediation and arbitration separately.
However, it's important to consider the potential drawbacks of med/arb. There is a risk that the shift from the facilitative role of a mediator to the decision-making role of an arbitrator may compromise the neutrality and impartiality of the process. Furthermore, the arbitrator might require that all parties waive confidentiality, since the parties would have to acknowledge the information shared during mediation can be used or disclosed in arbitration.
If you are considering med/arb as a dispute resolution option, it is essential to fully understand the process to ensure it is suitable for your specific situation.