Mediation Could Stop Overrunning Infrastructure Contracts Ending Up in Court

Mediators are urging the IT industry to think twice before looking to resolve commercial conflicts in a court of law. The IT sector is one of the key areas of industry where mediation is playing a growing role in resolving disputes, but its benefits are still not widely recognised by the industry. By its very nature, the IT sector has a number of issues that often lead to litigation. One principal area where disputes arise is that of large infrastructure projects.

Many such projects evolve somewhat differently from their early conception. This may be in response to changing technology, sometimes from the need to adapt to unforeseen circumstances, sometimes as a result of improvements not initially envisaged.

Commenting, Amanda Bucklow, Mediator and Member of In Place of Strife, The Mediation Chambers said "Mediation is a cost effective and proven process in resolving disputes without the need for court action. The specification for a project is the key thing. Companies often create a limited spec and find that as the project progresses, amendments have to be made to adjust the spec and this nearly always drives up the cost. Then both companies find they are out of budget and on their way to the courts.

"Mediation is ideal, but not everyone understands the concept. I have been able to produce solutions that avoid adversarial conflict and keep all parties out of court but not out of pocket."

Commenting, Mark Jackson-Stops, Mediator and Head of Chambers at In Place of Strife, The Mediation Chambers "Mediation is now recognised as one of the fastest and most cost-effective routes to achieving settlement of a dispute. Going to trial is expensive and stressful, often taking months or years of costly litigation, with no guarantee of an outcome that satisfies the parties when you get there. Mediation allows the parties involved to agree the final outcome between them and is entirely private, avoiding unwelcome publicity. Furthermore, if no settlement is achieved at mediation, they can then take it to the courts."

Posted to the site on 26th November 2008