About Mediation

In case of misunderstanding, conflict and dispute, in the business world can be solved in three ways in Hungary.

•  Appealing to court.
•  Choose court (arbitration)
•  Mediation (which mean in Latin “negotiation, intermediating”)

Not in every case should be finish in court.
Once appealing to court in Hungary it can take years until a verdict will be given, more than that it is very expensive, and it is not sure that the judge will give a verdict in your favor.
Among all the other solution to conflicts solving, mediation capture a major place. That is the reason why at 2002 the Hungarian cabinet decided legalizes mediation in Hungary (2002. évi LV. a közvetítői tevékenységről).

Mediation is a voluntary process, bringing a neutral third-party into a negotiation as a facilitator. It may or may not lead to an agreement between the parties.

The mediator task facilitates a conversation between the parties, identify the interests and critical needs of each party, and help the parties to develop acceptable solutions. The mediator do not give a verdict or decision but instead he Help establish ground rules for the negotiations, and realistic expectations. The mediator Help the parties decide what form of negotiation will be most effective. The mediator help clarify issues and differences. Mediators try to deal in the world of interests rather than positions. Frequently, the parties both want a similar outcome. They just have a different view of how to get there, or sometimes, they just phrase it differently. Often, their goals are separate, but not contradictory. When the parties understand the underlying interests that drive bargaining positions, they can identify and agree on matters that are not really in dispute and then focus on the real issues that separate them. The mediator help the parties define the problem. Each party can represent his/her own point of view, with out a professional knowledge of law. The mediator convenes and adjourns bargaining sessions and joint meetings. An effective mediator knows when joint or separate meetings are productive and when they’re not. They know that, sometimes, it’s important to let the parties vent in joint meetings, and sometimes it’s better to adjourn and give one or both sides time to regroup, reconsider, or just cool off. The mediator help keep the talks moving along, focused and on track. The mediator generates new options. It’s very natural for negotiators, who’ve been developing and living with contract issues, to “lock in” on one approach. The mediator, as a neutral third-party, can take a more objective view and suggest options that more smoothly achieve bargaining aims. The mediator help improve communication, which is usually the greatest impediment to successful outcomes. This can range from rephrasing statements so that all parties clearly understand what is being said and what is meant, to mediator “supposals.” These supposals allow exploratory proposals to be offered for discussion by the mediator without ownership and attendant risk to either party. Mediators can also meet off the record with the parties, and they often engage in “shuttle diplomacy,” moving back and forth between separate meetings of the parties carrying offers and counter-offers. The mediator provides or share information. When both parties have access to the same information, miscommunication and misunderstanding can frequently be avoided. Obviously, there might be information that one party considers proprietary and does not wish to share, but just as often, there is information that both parties can use to better evaluate the situation. And sometimes, it’s as simple as the mediator letting both parties know what’s going on elsewhere in the country or in a particular industry that would be relevant to the negotiations. Mediators have an absolute confidentiality, and they do not convey information without permission of the parties.
Once a solution is reached, it is given the status of a court verdict.