Dispute “WISE” Resolution
Civil & Commercial Disputes
.
We have mediated several civil and commercial disputes at CAMP which have benefitted from an early out of court resolution through mediation. Our domain expertise includes several kinds of civil and commercial disputes which we have successfully mediated.
- Breach of contract
- Loan / debt recovery or non-payment of dues
- All types of consumer disputes
- Employment & workplace
- Landlord, tenant, construction and related Real Estate disputes
- Joint venture Shareholder disputes, Founder disputes
- Admiralty/maritime
- Insurance
- Intellectual property
- Sports & media
Mediation in Action - Stories of Conflict to Collaboration
Case Study 1 - Vendor Dispute
The Dispute:
- X supplied raw materials to retail company Y.
- X and Y had a 5-year contract.
- Y defaulted in payments upon delivery by X after 2 years of the contractual
relationship. - X filed Civil Suit in Court for specific performance of the contract, after making numerous requests for payment.
- Case was pending in court for over 2 years.
The Process:
- X and Y agreed to mediate at CAMP.
- Y shared confidentially with the mediator that he had a cash crunch because of expansion and diversification. He acknowledged that X is a reliable and quality supplier to Y.
- Y was keen to continue business with X.
- Y understood the need for some payment to be made to X to cover minimum costs.
- Through the process X and Y understood each other’s financial needs as well as potential growth opportunities that could ensue from a continued relationship.
The Outcome:
- X and Y renegotiated the contract keeping in mind expansion and diversification plans of X.
- A new payment plan agreeable to both was drafted.
- The case settled in 2 months.
Case Study 2- IPR Dispute
The Dispute:
- X is a founder & lead scientist of Company C. Senior employees Y and Z who had been part of the R&D Team for 5 years left Company C and start their own venture, Company D.
- X believed company D was using design and technology that belonged to Company C.
- X filed criminal and civil cases against Y, Z and company D for infringement.
- After 5 years of unproductive litigation, the parties agreed to try mediation.
The Process:
- Mediation uncovered both Y and Z, are young, brilliant scientists with very promising careers. This lawsuit was deeply impacting their career and personal health.
- The Mediator shifted focus from whether or not there was infringement to identifying the real needs and interests of the Parties.
- Since the filing of this lawsuit, Y and Z had to shut down Company D and have not been able to work. Their real interest was to be able to reclaim their lives and move on personally and professionally.
- X had no clarity on what was ‘his’ IP and ‘their’ IP. He needed to identify his core IP and ensure that there is no future infringement.
The Outcome:
- The parties saw value in moving forward and not dwelling on whether or not there was infringement.
- It took around 1 month to reach a resolution.
- An expert was brought in to understand the concept, design, and technology that belonged to X and to all three.
- The parties identified technology that belonged to X and technology that belonged to all three.
- Y and Z agreed to pay X for his technology that they had used.
- Y and Z were allowed to use the IP that was identified as belonging to all three.
- They took time to draft a watertight settlement agreement & continue to maintain good relations to date.
Case Law and Court Judgements promoting Civil and Commercial Mediation
Afcons Infrastructure Ltd. & Anr v. Cherian Varkey Constructions Co. (P) Ltd. & Anr,
(2010) 8 SCC 24 Supreme Court
As per the Supreme Court’s Judgment in Afcons the following type of cases are appropriate for Mediation –
All cases relating to trade, commerce and contracts, including disputes arising out of contracts (including all money claims), disputes relating to specific performance, disputes between suppliers and customers, disputes between bankers and customers, disputes between developers/builders and customers, disputes between landlords and tenants/licensor and licensees, disputes between insurer and insured.
All cases arising from strained or soured relationships, including disputes relating to matrimonial causes, maintenance, custody of children, disputes relating to partition/division among family members/coparceners/co-owners, disputes relating to partnership among partners.
All cases where there is a need for continuation of the pre-existing relationship, including disputes between neighbours (relating to easement rights, encroachments, nuisance, etc.), disputes between employers and employees, disputes among members of societies/associations/ apartment owners’ association.
All cases relating to tortious liability, including claims for compensation in motor accidents/other accidents. All consumer disputes, including disputes where a trader / supplier/manufacturer/service provider is keen to maintain his business/professional reputation and credibility or product popularity.
The Court cautioned that this categorization was illustrative, and not exhaustive or rigid.
B.S. Krishna Murthy & Anr v. B.S. Nagaraj & Ors, AIR 2011 SC 794 Supreme Court
“Lawyers should advise clients to try for mediation for resolving disputes, especially ones where family relationships or business relationships are involved.”