Q&As

What are the costs recovery provisions in relation to commercial mediations?

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Published on: 18 February 2021
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What are the costs recovery provisions in relation to mediations?

The costs are usually split equally between the parties. This includes the cost of the mediator, venue and catering. Exceptionally, where one party is unable or unwilling to pay its share, the other party may do so, provided the mediator and non-paying party are satisfied that this will not affect the mediator’s impartiality.

The cost of engaging the mediator generally covers a certain amount of preparation or reading time by the mediator in advance of the mediation, and up to eight hours on the day of the mediation, whether they are acting via video or in person.

Over the past year, the majority of mediations have taken place remotely (see: Remote access mediation—checklist). This has enabled parties to save on the financial and time costs of travel, venue hire and catering. This has been a particularly beneficial development for cross-border disputes involving participants who would otherwise have to travel overseas, and for UK disputes involving people who would otherwise have

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Jurisdiction(s):
United Kingdom
Key definition:
Costs definition
What does Costs mean?

Money ordered to be paid by one party to another in respect of the costs incurred in the course of litigation, in bringing or defending a claim.

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