Complex R.E. transactions dictate use of mediation

The use of mediation to settle disputes has grown throughout society, but its use in real estate disagreements has exploded, so much so that it now is included in purchase agreement documents.

Why?

Mediation makes sense for all parties instead of litigation partly because real estate transactions differ from other disputes in one fundamental way — there almost always are more than two parties involved.

Look at a partial list of the people usually found in a real estate transaction: the buyer, the seller, buyer’s real estate broker, seller’s real estate broker, the pest control inspector, the property inspector, the title or escrow company, and an array of other inspectors or contractors — not to mention any attorneys for any or all of the parties.

Mediation has resolved every conceivable conflict that can arise in the sale or purchase of a home. It is such an effective dispute resolution tool that 90 percent of all conflicts wind up being settled at considerable time and dollar savings to everyone.

The goal of the Southland Regional Association of Realtors' mediation program is to empower all participants in a dispute while avoiding the time, expense and emotional trauma of litigation. Realtors work hard to avoid problems in every transaction, yet inevitably conflicts may arise.

When they do, mediation presents a quick, cost-effective alternative to litigation.
Any other form of resolution will mean giving some measure of control to a third party, which typically means each party will have to live with an often unpleasant compromise.

Go on-line to www.findavalleyhome.com/consumers/ct-mediation.php for a description of the various types of dispute resolution. For more information about the SRAR mediation service, contact Tess Martin, professional standards administrator, via e-mail at tessm@srar.com or by calling 818-947-2271.

“The existing judicial system is too costly, too painful, too destructive, too inefficient for a truly civilized people. … For some disputes, trials will be the only means, but for many claims, trial by adversarial contest must in time go the way of the ancient trial by battle and blood.”