Commercial Mediation
When a business dispute threatens a contract, a partnership or a hard won reputation, court is rarely the fastest or cheapest way out. Commercial mediation gives you a structured, confidential process where a neutral mediator helps both sides reach an agreement they can live with, usually in days or weeks rather than years.
Discuss Your DisputeWhat commercial mediation covers
Whether you know it as commercial mediation or business mediation, it suits almost any dispute where a business relationship, contract or payment is at stake. It works whether the other party is a supplier, a customer, a co-founder or a firm on the other side of the world.
Contract breaches
Non performance, broken terms and disputed deliverables.
Partnership disputes
Fallings out between partners, directors and co-owners.
Shareholder disputes
Deadlock, minority rights and exit disagreements.
Payment disputes
Unpaid invoices, disputed fees and contested charges.
Supply chain conflicts
Failures, delays and liability along the supply chain.
Cross-border disputes
International contracts, jurisdiction questions and cultural gaps.
Professional negligence
Alleged failures by advisers, consultants and other professionals.
Joint venture disputes
Disagreements between partners in shared ventures.
Restrictive covenant breaches
Non compete, non solicitation and confidentiality breaches.
For a fuller picture, see our complete list of dispute types and our mediation specialisms.
We also mediate the civil disputes that often sit alongside commercial matters: property and boundary disagreements, professional negligence claims and family business disputes. Our civil mediation page covers these in more detail.
Why businesses choose mediation
It is fast
Most commercial mediations conclude in one or two sessions. Litigation, by contrast, commonly runs for a year or more before trial.
It costs less
Mediation fees are typically a fraction of the combined legal spend on disclosure, counsel and court time. Both sides usually share the mediator's fee.
It is confidential
Nothing said in mediation is public, and it cannot be used in court if the process fails. Sensitive commercial information stays protected.
You keep control
A judge imposes an outcome; a mediator helps you build one. You can settle on terms a court could never order, including apologies, revised terms or future work.
It preserves relationships
Where the parties need to keep working together, mediation resolves the dispute without the scorched earth tactics of adversarial litigation.
Courts expect it
English courts can penalise a party on costs for refusing to mediate without good reason. Trying mediation first is now the commercially sensible default.
How a commercial mediation works
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1
Initial conversation
A confidential discussion about your dispute, whether mediation fits, and what it would involve. No obligation.
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2
Approaching the other party
If you want to proceed, we contact the other side, explain the process and invite them to take part. Many reluctant parties agree once they understand what mediation actually involves.
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3
The mediation session
Usually a single day, in person or by video. The mediator manages joint discussions and private caucuses, helping both sides test options honestly.
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4
Settlement
If you reach agreement, it is written up and signed there and then. A signed settlement is a binding contract between the parties.
Commercial mediation questions
What does commercial mediation cost?
For disputes valued under £50,000 we work on fixed fees through the Civil Mediation Council scheme, so the figure is capped and agreed before you commit. For disputes over £50,000 we quote a bespoke fee based on the preparation and expertise your case needs, discussed with you upfront with no hidden costs. The fee is normally shared between the parties, and either way it is usually a fraction of what you would each spend litigating the same dispute to trial. Our about page sets out the full approach.
How likely is mediation to settle our dispute?
Better than most people expect. The 2025 CEDR Mediation Audit, the main survey of the UK market, found around 70 per cent of mediated disputes settle on the day, rising to about 87 per cent when cases that settle shortly afterwards are counted. No honest mediator will promise you an outcome, but the odds are firmly in your favour, and even an unsettled mediation usually narrows the issues and clarifies what a trial would actually be about.
Is a mediated settlement legally binding?
Yes. Once both parties sign the settlement agreement it is a binding contract, enforceable through the courts like any other contract. If court proceedings are already running, the agreement can instead be recorded as a consent order or Tomlin order, which lets you return to court directly if it is breached. For international disputes, more than twenty countries have ratified the Singapore Convention on Mediation, which makes mediated settlements directly enforceable across borders. The UK signed in May 2023 and is preparing to ratify.
Can the court order us to mediate?
Yes. Courts in England and Wales can now stay proceedings and order parties into a dispute resolution process, and judges are expected to consider it when managing a case. You may still refuse, but an unreasonable refusal can cost you heavily in legal costs at the end of the case, even if you win. For defended money claims under £10,000, the court service also refers cases to its free telephone mediation service automatically. (Churchill v Merthyr Tydfil, November 2023; Civil Procedure (Amendment No. 3) Rules 2024, SI 2024/839, in force 1 October 2024.)
Do we need lawyers at the mediation?
Not necessarily. Some parties bring solicitors, others come alone. For high value or legally complex disputes, legal advice alongside the mediation is sensible, and your lawyer can help you reality-test offers on the day. But plenty of commercial mediations settle with directors and business owners in the room and no lawyers present. It is your choice either way.
What if the other side refuses?
Mediation is voluntary, so both parties must agree to take part. In practice many reluctant parties come round once they understand the process, especially once they know that an unreasonable refusal can count against them on costs if the dispute reaches court. If they still refuse, you have lost nothing: the attempt itself shows a court you behaved reasonably, and your other options remain open.
How long does the whole process take?
A commercial mediation can usually be arranged within days or weeks, and the session itself is typically a single day, in person or by video. Compare that with litigation, where a defended commercial claim routinely takes a year or more to reach trial, longer if there are appeals. If speed matters to your business, and it usually does, mediation is almost always the faster route.
Is what we say in mediation confidential?
Yes, in two ways. The discussions are confidential between the parties, so pricing, strategy and sensitive commercial information stay in the room. They are also held on a without prejudice basis, which means nothing said in mediation can be used as evidence if the case later goes to court. That combination lets both sides negotiate honestly without weakening their legal position.
More answers on our mediation FAQ page.
Talk to us about your commercial dispute
A short, confidential conversation will tell you whether mediation is right for your situation and what it would cost. Call +44 1604 785 785 or send us a message.
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