![Mediation is an alternative method for resolving business disputes outside of court](https://smb.gov.az/storage/6680/logoss.jpg)
Mediation is an alternative dispute resolution method before litigation by neutral, impartial and disinterested third parties. In our country, the application of mediation and its integration into the legal space have been started since the first years of independence. In this field, the Law of the Republic of Azerbaijan "On Mediation" was adopted, the "Rules for the Implementation of the Mediation Process" were approved and the Mediation Council was established. According to the Law "On Mediation", a relevant norm has been defined for the parties to participate in an initial mediation session before applying to the court for commercial disputes, as well as disputes arising from family and labor relations. This practice has a different character in different countries. For example, in Turkey, Italy and other countries, as in the experience of Azerbaijan, preliminary mediation is mandatory.
Mediation is effective and relevant for resolving commercial disputes. In most countries of the world, very few citizens apply to the courts. Thus, court sessions can last for years, additional funds are spent on fees, expertise and other actions. In addition, there may be the possibility of disclosure of trade secrets or damage to the company's reputation in open court proceedings. In other words, it is possible to minimize time and resource costs by sometimes spending a very short time on resolving issues in the mediation process. At the same time, the parties make their own decisions with the support of the mediator, and this situation makes the implementation of decisions even easier. It should be noted that successfully conducted mediation leads to the normalization of the relations of the parties, and the decisions made to settle the conflict create an opportunity for mutual cooperation. The biggest difference between a lawyer and a mediator is the mediator's independence and neutrality. The mediator does not represent any party. The resulting settlement agreement itself is an indication that the process has resulted in the satisfaction of both parties. Also, the cooperation of mediators and lawyers leads to successful mediation results.
AZERTAC reports that the Small and Medium Business Development Agency (KOBİA) widely uses mediation tools when considering disputes related to entrepreneurial activity. Complaints submitted to the agency are investigated promptly, and if necessary, tripartite meetings are organized within the framework of the government-entrepreneur (G2B) and entrepreneur-entrepreneur (B2B) cooperation platform, and the existing problem is discussed at the level of open discussion. The agency said that 9 SME friends of KOBİA operating in the regions successfully completed the training organized by the Academy of Justice and obtained the mediator certificate. Local and international companies now seem more interested in settling disputes through mediation. Compared to last year, this year there is an increase in the number of voluntary applications for commercial disputes. According to the information of the Azerbaijan Mediation Council, 279 mediators are currently working in the country, of which 199 work in Baku, Sumgait and Absheron, 5 in Nakhchivan Autonomous Republic, and 75 in other cities and regions. In 2021, 11,912 applications were processed by mediators, and more than 16,000 applications were processed in January-May of this year. About 3,000 of them are commercial disputes, and settlement agreements have been signed for 297 of them.
Source: https://azertag.az/xeber/2205878
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