Mediation and Arbitration Services

Real Estate Mediation - An SDAR Member Benefit

The Real Estate Mediation Center is here to resolve disputes arising from the real estate transaction at any point during or after the transaction. Our Mediation Center is open to all members of the public, as well as real estate professionals and attorneys. We are here to help you through every step of the dispute resolution process.

What is Mediation?

Mediation is an informal process in which disputing parties meet with a neutral third-party mediator, whose role is to help the parties resolve the conflict. The mediator does not make the decision. It is up to the parties, with the help of the mediator, to reach a mutually agreed-upon solution. During this process, a neutral mediator assists you in reaching a voluntary, negotiated agreement. Choosing this method promotes better relationships, reduces stress, lowers costs and decreases the time to resolve. The Real Estate Mediation Center has been assisting clients in resolving disputes for over 30 years. We have seen an over 90% success rate in resolving disputes through mediation!

What is Arbitration?

Arbitration is an alternative dispute resolution process in which a third party reviews the dispute and imposes a final decision that is legally binding for all of the parties. The arbitrator acts as the fact finder, rendering a decision, like a judge. SDAR and The Real Estate Mediation Center require parties to attempt to resolve their dispute through mediation first, prior to going through arbitration.

Why Mediation?

Mediation is cost-effective and allows you to spend your money solving the underlying issues, instead of paying legal fees. Mediation is timely and efficient. Unlike court cases, mediation can be completed in one or two sessions. Mediations are confidential. Unlike court cases, any agreements made in a mediation are not public record. You can maintain your professional image by avoiding a public court case. The parties to mediation should be aware that they may withdraw from the process at any point before reaching an agreement. It is a voluntary process.

Any offers of settlement that were not accepted or any suggested resolution proposed by the Mediator that was not accepted cannot be introduced as evidence nor considered in any manner should the matter proceed to arbitration or court.

However, if the parties agree to a settlement of the dispute, and the settlement has been reduced to a writing, signed by all parties, it is enforceable such that the parties should not thereafter need to proceed to arbitration or court. However, in the event either of the parties later fails to abide by the terms of the settlement, the matter, the agreement can be enforced by a court of competent jurisdiction.

How Much Does Mediation Cost?

Hourly fees are split equally between the participating parties, unless otherwise agreed, after the mediation.

The specific fees are as follows:

• Filing Fee: Non-refundable filing fee of $300 per party.

• Hourly Fee: Set by the mediator and split equally between the parties.

• Minimum Time: A four-hour minimum deposit is required for mediation and is due at the time of scheduling the mediation. Cancelations occurring within less than one week before the scheduled mediation date will result in forfeiture of the deposit.
  
  
  

What Happens at a Mediation Conference

Before the mediation conference, the parties will be expected to produce all information reasonably required for the mediator to understand the issue presented. Such information will usually include relevant written materials and a description of any witnesses and what each person may share.
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At the mediation conference, the mediator will conduct an orderly settlement negotiation. Parties at the mediation conference must have the authority to enter into and sign a binding written agreement to settle the dispute. The mediator will be impartial in such proceedings and has no authority to force the parties to agree to a settlement.