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Phone: 512-646-0828
The Posey Law Firm, P.C.
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Is Mediation a Good Choice for Your Business Dispute Resolution?

When you are faced with a business dispute, you have several options for resolution—and taking the other party to court is only one of them. A large number of business disputes are handled by arbitration, in which a neutral third party listens to both sides and offers a solution, or through mediation, in which a neutral third party helps both sides agree on a solution. 

Mediation is an excellent tool for some business disputes, but it is not the right choice for all cases. Let’s take a closer look at both the advantages and disadvantages of choosing this option. 

The pros of business dispute mediation

Let’s not beat around the bush: mediation is often a much less expensive way to settle a business dispute, especially if both sides are willing to sit down and talk through problems. At the same time and for the same reasons, mediation is often a much faster process than going to court. In addition, mediation is more private than a court hearing; while a court case may land in the papers and even affect business, mediation can be handled quietly. 

The cons of business dispute mediation 

Mediation is great as long as both sides agree to play along, compromise, and come to a fair decision. If the other party is not willing to work toward a solution, mediation can be a waste of time and money. Because either party can withdraw from the mediation process at any time, there is no guarantee of a decision. In addition, there is no judge in mediation sessions, meaning that no official is there to make a hard and fast decision based on the facts of the case. The two parties alone—plus a neutral mediator—resolve the case. This can be an issue if you aren’t sure of your rights or if you don’t stand your ground. 

Austin business dispute attorneys 

Whether or not you wish to attempt mediation to resolve your business dispute, you may wish to speak with an experienced lawyer about your case before making your decision. Even if you do choose mediation, you may still want legal assistance from an attorney before and during the process. To learn more, call the Texas business dispute lawyers at Posey today: 888-269-1962.

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