Managing disputes within farming

Let’s be honest, disputes within the agricultural sector are fairly common and can become a tad heated. The dreaded “P” word is liberally uttered…principle!

Within any dispute process a commercial head is required. Even where contractual terms and partnership agreements must be gone through, never lose sight of the fact that some form of resolution must be found which will allow parties to move forward in the future.

Whilst mediation is not yet obligatory within the Civil Court process, bringing it to the attention of a client is required by the Court and if one party offers to mediate, and the other party is unwilling to do so, they must file a statement with the Court identifying exactly why they are refusing, even if the Court process has begun.

Mediation allows the parties to deal with the underlying issues that may have contributed to the dispute but have not actually made it to the face of the claim form. It is a collaborative process, and a good mediator will seek to get to the nub of the problem quickly and encourage the parties to explore practical solutions to the issues that exist.

The process is far less formal than a Courtroom and as such it is far easier for the parties to relax, so far as that is possible, and think carefully about how the matters can be resolved and thereafter the future.  Even if the matter does not settle, generally the gap between the parties has been significantly narrowed.

The real trick of the mediator is to highlight the risks and costs associated with the Court process. Recollections may be contradictory and inconsistent leaving it to a Judge to make determinations.

The costs issues however are very significant. Whilst it is always lovely to go and see one’s solicitor there is always a cost associated with it. Mediators often offer a day rate inclusive of their preparation. Thereafter if you require your solicitor or barrister to be present at the mediation there is a cost associated with that.

The key is to remember that mediation exists. Most disputes arise from differing understandings of a position or a reluctance to shift from a position that has been taken. Mediation allows parties to stand back and contemplate the same.

For most farming businesses and family’s mediation will undoubtedly be the most cost effective and efficient way of reaching an acceptable outcome.