Shaking hands on a deal is not enough.
Binding mediation settlements are created when the terms of the agreement have been written and signed by the parties or their representatives. I am frequently asked about this when I provide mediation CPD training seminars for lawyers. I think it is because of confusion over the role of the Mediator.
The Mediator is not a judge so does not make any ruling on the case and doesn’t decide if one side’s case is better than the other. The Mediator helps the parties to negotiate their own solution – a solution they can all live with.
Binding agreement
If the parties do reach agreement then it is written up – usually by the lawyers – and signed. Then and only then do the parties have a binding agreement. If court proceedings have been started then the agreement may well be in the form of a Tomlin Order. This will be lodged at court and when the court seals the agreement it is fully enforceable.
Interesting that you even get questions like this. In the U. S. mediation agreements are binding and enforceable when signed except in the limited case of unpaid wage claims where courts often retain jurisdiction to review the agreement for fairness.
Hi Kelly,
I think it is just a case of catching up; mediation is a relatively recent addition to the dispute resolution armoury in the UK. Practitioners were never taught mediation at college and are having to learn it on the fly. It is now being taught to the new generation of law students.