Alternative dispute resolution (ADR) processes, including arbitration and mediation, have become well established in the Thai judiciary. Juslaws & Consult strongly suggests these mechanisms as they are meant to provide out of court resolutions to conflicts and are accessible to companies of all sizes and nationalities doing business in Thailand. This is a significant benefit to foreign investors as it provides them with an internationally-recognized means of settling a dispute without having to pursue the matter in an unfamiliar legal system.
In 2000, Thailand's Office of the Judiciary established the Thai Mediation Center (TMC) to promote dispute resolution as a means of settling conflicts and to help develop the professional skills of Thai mediators. The Center has worked closely with the courts in Thailand
in creating a system that diverts cases from the courts to mediation
, and in developing regulations to govern the process.
Thailand and other countries around the world have seen a major upsurge in the past several years in the use of mediation to resolve disputes. An increasingly wide variety of businesses and other organizations have embraced ADR practices whenever feasible.
Mediation is especially popular in resolving smaller claims, as the cost of litigating a small case could in fact be larger than damages eventually awarded by a court. Parties in a mediation process typical experience only minimal costs.
In Thailand, before mediation begins, the parties involved in the dispute must agree on the terms and conditions of the mediation, including keeping all information confidential. In the process the parties are assisted, by the mediator, in arriving at a mutually-agreeable solution to their dispute. Any agreement reached must specifically address the actions required of both parties and must be binding.
If one of the parties to the mediation agreement fails to comply with the terms and conditions that were set out and agreed on in process, the other party can ask that the courts enforce the agreement.
Juslaws & Consult advises clients on the most effective and efficient means of resolving business disputes. Mediation is always an important means for resolving a conflict. Our attorneys specializing in alternative dispute resolution have a solid track record in helping clients reach favorable outcomes to many types of business disputes.
Juslaws & Consult recognizes that litigation is a real possibility for a client faced with a dispute, but we always point out to our clients that sometimes the most suitable mechanism for resolving a conflict, may not require court action. In addition to mediation, the Juslaws & Consult ADR team in Thailand offers arbitration, negotiation and mini-trial alternatives when these methods are suitable. Please feel free to contact Juslaws & Consult more information.