ABOUT MEDIATION

What is Mediation

Mediation is a dynamic, structured, interactive process where a neutral third party assists disputing parties in resolving conflict.

The role of the neutral - the mediator - is to help those involved sort out their issues and arrive at a consensus. That might involve helping parties to finalize an agreement, resolve a dispute, develop effective communication, build or improve relationships, or all of these things. Mediators do not take sides.

Mediation is a confidential process where anything discussed or agreed in private is not disclosed to others without everyone’s agreement.

Where mediation is used to try to avoid or resolve a dispute, and if the mediation does not result in an agreement, the parties can still go to court. Details about what went on at in the mediation will not be disclosed or used at a court hearing.

If mediation successfully resolves the dispute, the mediator will draw up a settlement agreement which will be enforceable by all parties.

Benefit of Mediation

Mediation saves time and money. While the process of the courts can be lengthy and expensive, a mediation may be resolved within a day. The fees of mediation will be shared equally between the parties, unless they agreed otherwise.

Moreover, as mediation is a facilitative process to help parties reach a mutually agreeable solution, they are usually more satisfied with the outcomes and this helps to preserve their relationship.

In addition, the entire process of mediation is confidential.

BDAC Schemes of Mediation

  1. Commercial Mediation (CM) Scheme
    • Where the total quantum of claim and counterclaim exceeds $60,000.
    • The mediation fees will be charged at a daily rate with the minimum of $700.00 per party per day.
    • Application can be made through Request for Mediation form with a filing fee of $200.00.

  2. Small Case Commercial Mediation (SCCM) Scheme
    • Where the total quantum of claim and counterclaim is below $60,000.
    • The fees will be charged at an hourly rate from as low as $160.00 for three hours.
    • Application can be made through Request for Mediation form with a filing fee of $20.00.

  3. Family Mediation Scheme (FMS)
    • This scheme is introduced to assist families to resolve disputes away from courts such as matrimonial or family assets, spousal maintenance or those involving financial or non-financial arrangements for children such as child maintenance, child custody or visitation rights.
    • It offers a cost-effective and time-efficient way for the family to resolve their disagreements and at the same time, seeks to foster and maintain a safe and positive environment for the families.
    • Mediation fees will be charged at a daily rate with the minimum of $900.00 per party for half day.
    • Application can be made through Request for Mediation form with a filing fee of $200.00

    How does one start a Mediation?

    • A party may send a Request for Mediation to BDAC detailing the parties’ information, brief story of the case and the quantum of claim.
    • Where the other party declined the invitation to mediation or when the parties cannot ascertain whether there is an existing dispute or not, the requesting party may file for a consultation.
    • This Post-Filing consultation (“PFC”) is an informal and verbal consultation to be hosted by BDAC for the parties involved in a mediation. This process serves as an additional mechanism to invite any party(s) other than the requesting party to a mediation.
    • If the parties are agreeable to mediate, BDAC will appoint the mediator, coordinate the date for mediation based on the availability of the parties and the mediator.
    • The parties will sign the Agreement to Mediate and prepare a brief case statement prior to attending the mediation.

Settlement Agreement

If the parties have reached an agreement at the mediation, the parties may enter into an agreement called the settlement agreement. The agreement shall be binding, if signed by the parties.

In the event where a party does not fulfil his obligations or breaches its term and conditions, the other party may seek to enforce the terms of the settlement in courts such as breach of contract.

Mediation Fees : Commercial Case Mediation Scheme

Mediation Fees: Small Case Commercial Mediation Scheme

Model Mediation Clause

Any dispute arising out of or in connection with this agreement shall be submitted for mediation at Brunei Darussalam Arbitration Centre in accordance with BDAC’s Mediation Procedure before the matter is submitted for Arbitration under clause ____ . Either/any party may submit a request to mediate to BDAC upon which the other party will be bound to participate in the mediation within [45 days] thereof. Parties to the mediation must be represented by representatives of the Parties with authority to negotiate and settle the dispute. Unless otherwise agreed by the parties, the Mediator(s) will be appointed by BDAC. The mediation will take place in Brunei in the [English] language and the parties agree to be bound by any settlement agreement reached.