The COVID-19 health crisis is causing unprecedented disruptions and damages to the World’s economy and business relationships. A great variety of commercial disputes are surfacing as parties find it impracticable or impossible to perform their contractual obligations. In all likelihood, this crisis will result in a surge of litigation and will also considerably slow down the resolution of pending court cases. In fact, many courts around the world have stopped holding jury trials which will create a considerable backlog for many pending cases. These unprecedented delays should encourage parties to consider alternative dispute resolution.
Last week, we shared with you the launch of a new Dispute Prevention panel, comprised of neutrals who have the experience to facilitate the resolution of a dispute before it becomes a legal conflict. At the same time, we also want to remind you that CPR Dispute Resolution and its Mediation Services are also available to assist businesses in these difficult times. As you know, mediation is a flexible, nonbinding dispute resolution process that uses a neutral third party- the mediator – to facilitate negotiation between the parties and help them find a mutually satisfactory solution to the dispute. The mediator has no authority to impose an outcome on the parties and controls only the process of the mediation itself, not its result. The process is typically faster and more cost-effective than binding dispute resolution processes, such as litigation or arbitration.
CPR’s Mediation Procedures have been drafted by dispute resolution experts and have been used to resolve hundreds of cases over the past three decades. They offer flexibility while providing ground rules for the conduct of the mediation. For example, they provide rules to select the mediator, exchange information between the parties or to preserve confidentiality. All our mediation procedures are available here.
CPR’s Panel of Distinguished Neutrals comprises those among the most respected and elite mediators in the US and around the world. It includes prominent attorneys, retired state and federal judges, academics, as well as highly-skilled business executives, legal experts and dispute resolution professionals who are particularly qualified to resolve all business disputes including those involving multi-national corporations or issues of public sensitivity. Focusing in more than 30 practice areas, CPR’s esteemed mediators have provided resolutions in thousands of cases, with billions of dollars at issue worldwide. Click here for more information about CPR’s Panel of Distinguished Neutrals.
How do I commence a mediation with a counterparty with which I have a dispute? You will need to execute the following mediation agreement with your counterparty:
“We hereby agree to submit to confidential mediation under the CPR Mediation Procedure the following controversy: [Describe briefly]”
What if it is an international dispute? You will need to execute the following mediation agreement with your counterparty:
“The parties hereby agree to submit to mediation under the CPR International Mediation Procedure the following controversy: [Describe briefly]”
What if it is an employment dispute? You will need to execute the model submission agreement in Appendix 1 of CPR Employment Mediation Procedure
What is the cost?
- You do not need to pay any filing or administrative fees to use CPR Mediation Procedures. However, if the parties cannot agree on a mediator – or if they would like to benefit from CPR’s expertise in identifying a qualified mediator for the dispute – you will need to pay US$ 1,500 fee (the fee is split among the parties). Click here for more information on how CPR’s experienced case management team assist the parties in selecting their mediator.
- In addition, you will need to pay the mediator. Most mediators charge an hourly rate.
What if my dispute is below US$ 500,000? You may consider using CPR’s flat fee mediation program. Under the program, the dispute will be mediated for a flat fee of $3,500, to be split among the parties ($2,500 when a CPR member is involved in the dispute). This amount will entitle the parties to one day of mediation (up to 10 hours, including preparation). Thereafter, an hourly rate of $350 will apply. Mediators are directly appointed by CPR, after the parties have agreed upon a date and venue.
How do I request CPR’s assistance for the selection of the mediator? To obtain the appointment of a mediator, send your request via email to CPRNeutrals@cpradr.org with the contact information for all parties, including email addresses. You will also need to pay a $750 non-refundable deposit. Payments can only be accepted via credit cards or wire transfer. Please specify in your cover email how you would like to pay. Click here for more information.
How to I contact the case management team if I have additional questions? Contact Alveen Shirinyans at firstname.lastname@example.org or +1.646.753.8230 or Helena Tavares Erickson at email@example.com or +1.646.753.8237