IIAM Mediation
IIAM Mediation is based on the Mediation Rules published by the Indian Institute of Arbitration & Mediation (IIAM), which is intended to help parties and mediators to take maximum advantage of the flexible procedures available in mediation for the resolution of disputes quickly and economically.
Mediation is a settlement effort, which utilizes the services of an impartial, third party mediator in an effort to reach a mutually acceptable agreement. By agreeing to mediate, parties agree to negotiate to attempt to settle their differences. It is an informal and non-adversarial process, which has the objective of helping the disputing parties reach a mutually acceptable and voluntary agreement. Neither IIAM nor the mediator has the power or authority to render a binding decision or to force the parties to accept a settlement. Whenever parties choose to mediate through IIAM, the IIAM Mediation Rules apply to the proceedings.
IIAM Mediation Rules shall also apply to the mediation of present or future disputes where the parties seek amicable settlement of such disputes and where, either by stipulation in their contract or by an agreement to mediate, they have agreed that the IIAM Rules shall apply. The parties may agree to vary the Rules at any time.
IIAM is a member of Asia-Pacific Centre for Arbitration & Mediation (“APCAM”) and where the parties seek to resolve any international dispute under the IIAM Mediation Rules, they are deemed to have agreed to resolve such disputes as per the Mediation Rules of APCAM. This help the business community to resolve their international commercial and business disputes by mediation under a single set of Mediation Rules and with a uniform fee structure in all the APCAM member countries to minimize the hassle of adhering to different laws or fees of different institutions. For details, Click here
The importance of private mediation in international business dispute resolution has become even more pertinent after the United Nations brought out a convention, viz., the “United Nations Convention on International Settlement Agreements Resulting from Mediation” (Singapore Convention), which was adopted on 20 December 2018. The Convention was made open for signature on 07 August 2019 and India was a signatory along with 46 other countries, as on that date. As of date there are 55 signatory countries and the Convention has come into force as on 12/09/2020. Once the signatory countries ratify the Convention, mediated settlement agreements becomes enforceable like an arbitral award in all those countries as per the Convention. The Convention does not apply to court-annexed mediations, making the importance of private mediations in cross-border business disputes highly recommended.
The AMA or the Arb-Med-Arb Procedure under the IIAM Rules, is an effective way by which the party can invoke arbitration and simultaneously try to resolve the dispute through mediation and if successful, make the outcome as an arbitral award or in case of failure of mediation, continue with arbitration. The AMA procedure helps to save time and also helps to make mediation settlement binding, especially in international disputes, as the mediation settlement would become enforceable under the New York Convention.
IIAM Mediation Rules also provide parties option to initiate and/or conduct mediation through digital platform, using Peacegate Application or such other platforms as agreed by the parties. The entire process including signing of Agreement to mediate and signing of Mediated Settlement Agreement can be made using the online platform, with absolute security and authenticity, in recorded in an electronic format and which is accessible so as to be useable for subsequent reference, and also securing the identity of the person signing the document.
IIAM Mediation Rules provide for Dispute Prevention & Management (“DPM”) system, by which the parties can opt for Dispute Management Clause (“DM clause”) in their project contracts, wherein the parties to the contract can jointly appoint a “Project Mediator”, whereby the parties would have the opportunity to work together, in a more collaborative and mutually beneficial environment and oversee that the contract proceeds smoothly.
Once the parties include an IIAM DM clause in their contract, an exclusive hotline hub is created, with the parties to the contract and the Project Mediator and the Project Mediator is retained by contracting parties to call upon when the parties' own discussions cannot resolve a particular dispute or difference.
Under Project Mediation, it is agreed by the parties that in case of any dispute, they will initiate mediation and shall not disrupt the services or contractual obligations under the contract and shall continue with the terms of the contract.
Under the IIAM Project Mediation, a party or the parties jointly can also initiate emergency mediation, in case of exceptional urgency, to resolve a dispute. Once the emergency mediation is initiated, mediation is commenced as soon as possible at any rate within a period of 24 hours and the mediator shall strive to complete the emergency mediation within a period of 7 days.
Mediation under the IIAM Mediation Rules is a confidential, voluntary and private dispute resolution process in which a neutral person (the mediator) helps the parties to reach a negotiated settlement. IIAM will make the necessary arrangements for mediation, including appointing the Mediator; organizing a venue and assigning a date for the mediation; organizing an exchange of summaries of case position; and providing general administrative support. IIAM will also assist in drawing up the mediation settlement agreement, if necessary. Once a settlement agreement is made and signed by the parties, as per the Arbitration & Conciliation Act, 1996, it becomes a deemed decree and the same can be executed directly, if defaulted by a party, without any further adjudication or litigation.
Trust underpins the mediation process. If the parties do not trust a mediator’s integrity in terms of competence diligence, neutrality, independence, impartiality, fairness and the ability to respect confidences, mediation is unlikely to succeed. IIAM maintains high professional credibility of its Mediators through stringent quality measures. Every Mediator is guided by a Reviewer who prepares the Feedback Digest of the Mediator based on the Feedback offered by parties who have previously engaged the mediator. The mediators are bound by the IIAM Mediators’ Code of Professional Conduct, which provides users of mediation services with a concise statement of the ethical standards they can expect from Mediators and sets standards that they can be expected to meet. Users who believe the standards established in this Code have not been met may prefer a complaint to IIAM on the Mediators’ Conduct Assessment. The Rules have been made as per the guidelines of APCAM and the International Mediation Institute. Details can be seen in the IIAM Mediation Rules.
The costs and expenses of mediation will be governed by the Fee Schedule of the IIAM Mediation Rules.
IIAM also provide international mediation service for business groups doing trade, business or investment abroad or multinational business groups doing trade, business or investment in India. IIAM Mediation Services include deal mediations for making efficient business deals and dispute management systems or dispute mediations for amicable and effective dispute resolutions. IIAM maintains panel of professional mediators representing various countries with respective language and cultural background.
