New Mediation rules of the Finland Chamber of Commerce
The Arbitration Institute of the Finland Chamber of Commerce (“FAI”) administers mediation under the Fai Mediation Rules. The mediation is available way of resolving disputes between parties. The parties may agree on mediation by including a mediation clause in their contract. The parties may also agree on mediation after a dispute has arisen between them. The outcome of a successful mediation is a settlement agreement.
The parties find an amicable solution
In facilitative mediation, the mediator does not make decisions or rulings as to the merits of the case but assists the parties in finding an applicable solution and/or in avoiding disputes. FAI Mediation gives an opportunity for the parties to maintain sustainable business and personal relationships. The process is tailored to the needs of each particular situation. The mediator is nominated jointly by the parties. In case the parties do not jointly nominate a mediator or the mediators, the FAI shall make the appointment. That is to say, the parties only need to find consensus to launch FAI mediation. FAI shall help to get things on the go.
Flexibility ensures user-friendly proceeding
The mediation may be conducted at any place appropriate by the parties and the mediator. The mediation may be conducted in person or through any means of communication. The FAI mediation may be embarked regardless judicial, arbitral or similar proceedings concerning the case. The effect of agreement to mediate is that other judicial proceedings await a settlement agreement.
Confidentiality is required while the parties make an initiation FAI mediation. The parties, the mediator, the FAI and any other person participating in the proceedings shall keep the existence and outcome of any FAI mediation confidential, as well as any statement or information made or obtained during the mediation. Any statement obtained in the context of FAI mediation is forbidden evidence in any subsequent legal proceedings.
The first appointment between the parties and mediator shall be arranged as soon as possible. In practice, mediation proceedings are often completed in one or two mediation sessions with some preparatory work before the mediation. The mediation is free of charge in case any of the parties objects to FAI mediation or does not submit a response within 15 days from the date on which it received the request for mediation and the FAI declares that the mediation has terminated.
Arbitral award for enforcement purposes
The agreement may be confirmed for enforcement [execution] purposes. The parties may, subject to the mediator’s consent, agree to appoint the mediator as an arbitrator and request him or her to confirm the settlement agreement in an arbitral award. Hereby, the parties may confirm the agreement flexibly (without national judicial enforcement proceeding). What’s more, it is often easier to enforce an arbitration award in a foreign country than it is to enforce a judgment of the court. The Finland Chamber of Commerce mediation is an internationally efficient, high-quality tool for (alternative) dispute resolution.
More information about mediation and practical guidance on the application of the Mediation Rules on contained in the FAI Mediation Guidelines, which are available on the FAI website: www.arbitration.fi.
Article by Markku Lindblad and Daniéla Jarva,
Lindblad & Co Attorneys Ltd