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Mediation before or just after the filing of a lawsuit makes economic and business sense in many instances. It can save individuals and businesses an extraordinary amount of time, money, and resources. Early settlements of complex issues or problems can save money by avoiding the expenditure of legal fees and costs, but more importantly can result in good will. Most individuals and businesses do not make money by spending their time in litigation. Preventing lawsuits that can result in negative results or negative publicity is also quite beneficial to both individuals and businesses.
In employment cases, where something "inflammatory" occurred, an early resolution may prevent embarrassing publicity. Partnership disputes and small business disputes are often like a divorce. The assistance of a third party mediator at a very early stage could bring some sanity to a difficult situation. Often, an early resolution to an uncontested serious personal injury or product liability lawsuit can save a business significant amounts of money and get the injured party a recovery that will provide for immediate care, treatment and recovery of income.
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There are times when a lawsuit must be filed so that initial discovery can be done to assist the parties in understanding the issues. In catastrophic injury cases, discovery regarding the cause of the accident and/or the nature and extent of the injuries may be necessary. In a complex real estate or business matter, it may be necessary to produce volumes of documents that have been exchanged over a period of time for the parties and their attorneys to understand why there is even a dispute. In construction defect litigation, discovery is almost always necessary in order to become informed as to the nature and extent of the problems, the available insurance, and the cost of repair.
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No matter how hard individuals try, there are some cases that cannot be resolved until the eve of trial. Depositions of fact witnesses and experts may be necessary for the parties to understand each others' positions. Unfortunately, at this stage of the process, the parties frequently are so vested in a result, and have spent so much money, that the case is "upside down" and resolution becomes extremely difficult. If the parties are willing to participate in mediation, the case can be settled. A skilled mediator can assist the parties in resolving the lawsuit. The mediation should provide one last opportunity to explore settlement before embarking on an expensive and exhausting trial.
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