Why more businesses are choosing Mediation over court proceedings
May 19, 2026
By Tiegan James
Mediation is a form of Alternative Dispute Resolution and is a key, cost-effective alternative to court proceedings.
Mediation involves an independent, neutral mediator who assists the parties in negotiating a settlement without the dispute proceeding to a full trial. In many cases, mediation can preserve commercial relationships, reduce legal costs and bring disputes to an end far sooner than litigation.
Our expert in dispute resolution, Tiegan, explains what to expect when attending a mediation and why mediation is an important option to consider when resolving a dispute.
Mediation is a structured but flexible process, designed to help parties negotiate a settlement.
During mediation, the mediator does not provide legal advice, nor decide the outcome or impose a binding decision. Their role is to remain neutral and facilitate discussions aimed at helping the parties reach a mutually acceptable resolution. While the aim is to achieve settlement, this does not necessarily mean an outcome in which both parties are entirely satisfied – compromise is usually required on both sides. However, parties are never obliged to agree beyond what they are comfortable with, making it important to consider your limits and objectives before attending mediation.
Either party is entitled to end the mediation at any point if they feel it is no longer productive, for example where the other side’s proposals are unreasonable or negotiations have stalled. Participation in mediation is voluntary throughout.
The structure of the mediation is usually set by the mediator and may take place either in person or virtually.
Mediation often begins with a joint session, followed by private meetings between the mediator and each party. During these private sessions, the mediator moves between rooms to relay offers, responses, and questions, with the aim of narrowing the issues and encouraging settlement.
These confidential sessions allow parties to speak openly about:
The number and length of these meetings can vary, and parties should expect some periods of waiting while the mediator meets privately with the other side.
If a settlement is reached, the terms will normally be recorded in a formal written agreement on the same day. Once signed by all parties, the agreement is binding. Any ongoing court proceedings will then usually be brought to an end by way of a consent order.
Mediation often leads to resolution at an early stage, avoiding the significant costs and disruption associated with taking a dispute to a full trial. It also reduces the risk of the unsuccessful party being ordered to pay the other side’s legal costs.
In addition, resolving a dispute through mediation can help parties avoid the stress, uncertainty, and disruption of prolonged litigation if pre-emptively dealt with.
Mediators can also help parties realistically assess the strengths and weaknesses of their cases by “stress-testing” the issues. This may expose risks or gaps that had not previously been considered and highlight the uncertainty of litigation, even where a case appears strong. Where mediation does not result in settlement, this process can still help parties build consensus and refine their positions if the dispute continues.
Unlike court orders, which are often limited and rigid, mediation allows for creative and flexible mutually agreed solutions. Parties can agree outcomes that a court would not have power to impose, which may help preserve relationships in disputes.
For these reasons, mediation offers a flexible, efficient, and often more cost-effective way of resolving disputes, to avoid potentially lengthy and expensive court procedures. Courts also look favourably on parties who are willing to engage in mediation, making it an important option to consider in almost any dispute.
If you would like advice on mediation or any of the issues discussed above, get in touch with a member of our dispute resolution team using the contact form, or via 02920 829 100 or hello@darwingray.com to see how we can support you and your business.