Disputes may be resolved without seeking recourse at court. Alternative dispute resolution methods may, in such a case, assist to resolve a dispute if parties are unable to resolve it. One of the techniques available is mediation.
Mediation may be initiated voluntarily by the parties; it may be ordered by a court or may be prescribed by law. As a process, mediation is a structured and flexible procedure whereby two or more parties attempt to resolve a dispute among them, with the assistance of a neutral and qualified third party, who is called the mediator. The mediator actively assists the parties to reach an agreement without formally expressing an opinion regarding any solution that is proposed. The whole process is governed by confidentiality and confidentiality binds all parties participating in the process. Mediation is often a faster and more cost effective than ordinary court proceedings. Mediation may also explore more creative solutions to resolve a problem than a solution that would be available in court.
In Cyprus, the law that regulates mediation is the Law which provides for certain aspects of mediation in civil matters, law 159/2012 (the "Law"), and was enacted on 16 November 2012 in order to harmonize domestic legislation with the Directive 2008/52/EC on certain aspects of mediation in civil and commercial matters (the "Mediation Directive"). Unlike the Mediation Directive, the Law does not apply only to cross-border disputes in civil and commercial matters, but also covers domestic civil and commercial disputes.
According to the provisions of the Law, in case where the parties decide to resort to mediation for the resolution of their dispute, they are free to jointly select a mediator from the Register of Mediators. The Law provides that the Register of Mediators is held by the Minister of Justice and Public Order. The Law further provides for the registration/removal of mediators in the Register of Mediators.
The procedure prescribed under the Law is informal. The parties agree, in consultation with the mediator, the way of conducting the procedure, its duration, the obligation of confidentiality of the process, the remuneration of the mediator and the terms of payment and any other matter deemed necessary.
The mediation process may be terminated for several reasons which are, among others, the following: (i) upon the conclusion of an agreement between the parties, (ii) by drafting minutes regarding the non-conclusion of an agreement, (iii) where the parties jointly terminate the process and (iv) where any one of the parties withdraw their consent to the mediation process.
In the event where the parties reach an agreement in relation to their dispute, the parties may apply to the Court to declare the agreement reached as enforceable.
Mediation may be resorted to in the following disputes:
- Civil Disputes
- Commercial Disputes
- Labour Disputes
- Consumer Disputes
Our law firm provides mediation services, including the organisation and carrying out of the mediation process. Furthermore, the firm's member Eleni Tzioni is an accredited mediator and registered in the Register of Mediators maintained by the Minister of Justice and Public Order. In this capacity, she can act as mediator in mediation procedures.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.