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Contract Disputes

Take Advantage of Many Benefits of Mediating Your Contract Disputes in Minnesota

Contracts are part of everyday life. They explain the rights and responsibilities of the parties who have entered into them. However, sometimes disputes may arise after the contract is entered into, which can disrupt the parties. Mediation is an effective way to resolve these types of disputes.

The Benefits of Mediating Contract Disputes

Parties involved in a contract dispute previously had a good relationship. That is why they entered into a contract. They may want to continue their business relationship if it mutually benefits them. However, a contract dispute may arise that negatively impacts their relationship. Mediation can often help to dispute parties reach an amicable resolution and preserve their business relationship. This is because mediation often does the following:

  • Allows the parties to clear up misunderstandings – The parties can communicate to the mediator about problems that arose or misunderstandings they had at the time of entering into the contract.
  • Gives the parties an objective opinion about their position – The mediator can give an honest assessment of each of the parties’ positions.
  • Uncovers the hidden interests of the parties – The mediator can often uncover what interests the parties have in resolving the dispute, such as preserving their business relationship or avoiding negative publicity for their business.
  • Provides new solutions to a problem – The parties are not bound to the traditional restrictions of litigation and can devise their creative solutions.


The Mediation Process of Contract Disputes

At the beginning of the mediation, each party has an opportunity to give an opening statement that explains their position and the dispute. The mediator explains that he or she is there to help aid the parties’ communication and does not impose any judgment on them. Depending on the nature of the relationship between the parties and the mediator’s style, the parties may stay in the same room together to consider possible resolutions to their case, or the mediator may place them in separate rooms and shuttle back and forth between them.

During private meetings with the mediator, each party may provide additional information about how the problem formed and how it may be resolved. The mediator can give honest feedback on the parties’ positions based on recent rulings and his experience in similar cases. This can give the parties a better view of their case as a whole and the potential issues they may confront if litigation continues. The mediator will also try to uncover the interests of each party and may suggest ways to resolve the dispute that factors in these interests. The parties may make offers and counteroffers through the mediator to communicate to the other party. Once the parties reach an agreement, a written agreement is drawn up and the parties sign it.

Contact Us to Learn More

Learn more about Michael S. Kreidler and how we can help by contacting us at (612) 751-1044 for more information.



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