Sunday, October 19

JAMS Forms Financial Markets Group

If you read your way past the JAMS' corporate gobbly-gook of 'highly respected neutrals, most distinguished mediators, our highly esteemed panel, best equipped' and so on, then this news of a specially formed JAMS group of mediators to respond to the financial crisis is quite interesting.

"We expect that the litigation fallout from this credit and financial crisis will be felt for years to come in a range of areas including class and individual litigation by investors and shareholders against both corporations and investment advisors as well as class and individual litigation between lending institutions and borrowers. An ADR approach -- either mediation or tailored arbitration -- can cost-effectively resolve a broad range of claims for the benefit of all parties.”

I agree. I did back in July too when I wrote extreme mediation makeover.

It's simple. There will be a huge wave of litigation as people go looking for their money. But they will have less than before and they will use litigation to get their intended target(s) into the ring and then they will use mediation to get the job done - purely because of cost and time savings.

1 comment:

Arnold Zeman said...

"An ADR approach -- either mediation or tailored arbitration -- can cost-effectively resolve ..."

This focus on resolution suggests to me a constraint on the disinterestedness of the mediator, i.e., the mediator has a defined interest in the mediation process, viz. to secure a resolution/settlement. Nothing wrong with that, I guess, as long as this mediator interest is acknowledged.