Cases of termination of commercial mediation procedures according to regulations

Termination of commercial mediation procedures is the end of the conciliation process, the dispute may or may not have been resolved. Understanding the regulations on cases and procedures for terminating conciliation will ensure the interests of customers, thereby preparing a plan to terminate commercial conciliation in accordance with regulations, saving time. The article below will provide detailed information about this issue.

Rules for choosing commercial mediation in dispute resolution

Commercial mediation is a popular dispute-resolution method in the business sector. Rules for selecting commercial mediation are specified in Article 4, Decree 22/2017/ND-CP.

Accordingly, disputing parties have the right to freely choose mediation methods. They can apply the Mediation Rules of the commercial mediation organization or agree on the mediation order and procedures themselves. In case there is no agreement, the mediator will proceed in an order appropriate to the circumstances of the case.

The parties have the right to choose the number of mediators, location and time of mediation. They also have the right to request public or private mediation. This rule ensures flexibility and is suitable for the specific characteristics of each dispute.

Some cases terminate commercial mediation procedures

According to Article 17, Decree 22/2017/ND-CP specifically regulates cases of termination of commercial mediation procedures. Understanding these cases helps disputing parties be proactive in the process of resolving the case.

• The first case is when the parties reach a successful conciliation result. This is the ideal result of the conciliation process when the parties have agreed on a dispute resolution plan. Successful conciliation results are made in writing and can be considered for recognition according to the provisions of civil procedure law.
• The second case is when the commercial mediator considers it unnecessary to continue the mediation, after consulting with the parties. This decision is based on the mediator’s professional assessment of the feasibility of reaching an agreement between the parties.
• The third case is at the request of one or more disputing parties.

Procedures for legally terminating commercial mediation procedures

To legally terminate commercial mediation procedures, the parties need to comply with the process. This process ensures transparency and protects the interests of relevant parties:

Step 1: Determine the grounds for terminating the conciliation procedure. This basis can be the result of successful conciliation, the conciliator’s decision, or the proposal of one or more disputing parties.

Step 2: After determining the grounds, the parties need to make a record recording the termination of the conciliation procedure.

The minutes of termination of conciliation procedures must clearly state the reason for termination, time of termination, and confirmation signatures of the parties involved. In case of successful conciliation, the parties need to prepare additional documents to record the successful conciliation results. This document can be recognized according to the provisions of civil procedure law.

Possible risks when terminating commercial mediation procedures

Terminating commercial mediation procedures has many potential legal and practical risks. Identifying and preventing these risks is an important step to protect the interests of disputing parties in the business process.

• The first risk is the termination of procedures not in accordance with the law. If you do not comply, the mediation result may be annulled or not recognized. For example, failure to properly prepare a termination record may lead to a dispute about the legality of the termination procedure.
• The second risk is related to information security. During the mediation process, parties often disclose sensitive information about their business operations. When terminating the procedure, it is necessary to ensure that this information is kept confidential according to Article 4 of Decree 22/2017/ND-CP. Breach of confidentiality obligations can result in reputational and financial damage to the business.
• The third risk is the possibility of new disputes arising after the conciliation procedure ends. If the parties fail to reach an agreement or the agreement is not fully implemented, it may result in litigation in court or arbitration. This can be time-consuming and costly for businesses.
• The fourth risk is the loss of the opportunity to resolve disputes peacefully. Terminating mediation too early or at the wrong time can eliminate the opportunity to reach an agreement that benefits both parties. This is especially important in complex or high-value disputes.
• The final risk is the impact on business relationships. Improper termination of the conciliation procedure can worsen the relationship between the parties, affecting future business cooperation opportunities. This is a significant risk, especially in a long-term business context.

To minimize these risks, businesses need to strictly comply with the law on termination of conciliation procedures. Specifically, it is necessary to prepare a termination record according to regulations, ensure information security, and consider carefully before deciding to terminate. In complex cases, consulting with legal experts is necessary to ensure the interests of the business.

Consulting services on procedures for terminating commercial mediation procedures

With a team of experienced people in this field, Long Phan supports businesses in effectively terminating commercial mediation procedures.

The services we provide include:

• Consulting on cases where commercial mediation procedures can be terminated
• Analyze the specific circumstances of the case, evaluate options for terminating conciliation procedures, and assist in preparing necessary documents.
• Representing businesses during negotiations and implementation of related procedures.
• Support businesses in implementing successful conciliation results or handling problems that arise after conciliation procedures end.

Terminating commercial mediation procedures requires a deep understanding of the law and practical experience. To ensure your rights and comply with legal regulations, customers should consult experts. Please contact Long Phan immediately via Hotline: 0906735386 for detailed advice on procedures for terminating commercial mediation appropriate to the specific situation of the business.