Resolving commercial disputes

Commerce revolves around relationships. It is often evident that building successful businesses is dependent on cultivating, preserving and enhancing business relationships. In fact, an essential element of a contract is the intention to create a legal relationship.

Business happens over years and years. Value is measured in the total upside of a business relationship, not by how much you squeezed out in any one deal. – Mark Cuban

It is therefore indisputable that the swift resolution of commercial disputes is in everyone’s best interest. The preservation and possible enhancement of the relationship will benefit both parties. Accordingly, in cases of commercial disputes in which the parties wish to continue with, and will find benefit in, maintaining their business relationship it is worthwhile, in addition to reaching a satisfactory resolution, in working on that relationship. Mediation in commercial disputes may provide a significant opportunity to “work on the relationship”, to preserve and possible enhance it.

Mediation is the process by which an independent third party, the mediator, helps the disputing parties to resolve their dispute and negotiate a settlement. The resolution of the dispute necessarily involves the discussion about the business relationship, its importance to each of the parties, the means by which it may be preserved and what the relationship should look like into the future. It is a vital opportunity that shouldn’t be missed.

Often we find that the parties to a dispute prefer to stay away from each other in separate rooms with the mediator shuffling between them to convey offers, manage expectations and reality test their alternative options. While this is a reasonable way of working towards settlement it does not necessarily afford a means of “working on the relationship”. This would require the parties to face each other, work together, and actively participate to redefine their relationship. It is the mediator’s job to help the parties do that.

Whenever you’re in conflict with someone, there is one factor that can make the difference between damaging your relationship and deepening it. That factor is attitude. William James

As the above quote states it is the attitude you take into a negotiation that will determine if the relationship is damaged or enhanced. Use every opportunity to enrich business relationships and a dispute is one such opportunity. Take the attitude into the mediation that the relationship is important and can be saved and even improved. Then there will be every chance for success.

Success through collaboration.