Mediation is an alternative way to resolve disputes. It is fully supported by the courts and allows the parties involved to have more control, resolve their dispute quicker and save massively on legal costs. An important fact is that the issues are dealt with confidentially rather than in an open court.
The costs of mediation
The costs of mediation should be proportionate not only to the legal and factual complexities but also the means of the parties. One of the substantial advantages of mediation is the saving of the costs of going to Court. However, before deciding to go to mediation you would want to have some idea of the fees likely to be charged.
I therefore offer the following guidelines as to my normal fees for disputes up to £500,000. The fees would be firmly fixed by agreement before entering into the mediation process.
- One day mediation – £1250 plus vat per party (includes 3 hours preparation and full day e.g. 10.00a.m – 5.30pm or 10.30 – 6.00pm)
- Over-time charge of £175 plus vat per party per hour after the agreed timing.
- More than two-party mediations and disputes in excess of £500,000 – fees to be agreed.
The courts support and encourage mediation
There is strong encouragement for mediation as a course of action from the courts. If one side refuses to try this course and the case goes to court, it could affect his claim for the costs of the action.