Common use of Mediation First Clause in Contracts

Mediation First. The parties agree that in the event of any dispute by and between them, they shall first attempt to resolve the dispute by way of an informal mediation, and if such efforts do not result in a resolution, they will have the dispute arbitrated as set forth below. The mediation shall be held before a neutral attorney or mediator having at least ten (10) years of business experience or by a retired judge (“Qualified Mediator”). Within ten (10) days of a demand for mediation, the parties shall attempt to mutually agree on a Qualified Mediator. If the parties agree on the selection of a Qualified Mediator, the mutually selected Qualified Mediator shall be appointed for the parties’ mediation. If the parties are unable to mutually select a Qualified Mediator, they shall each select a Qualified Mediator and the two Qualified Mediators shall then select a third neutral Qualified Mediator who shall mediate the parties’ dispute. Any selected mediator who is unable or unwilling to fulfill his or her duties may be replaced. Subject to the Qualified Mediator’s availability, the parties will make best efforts to have the mediation scheduled and held within fifteen (15) days of a demand. The parties shall split and pay for the fees and costs charged by the mediator equally. Any party who fails to participate in the mediation shall waive that party’s right to collect attorney’s fees herein.