Family Business Mediation

Mediation for
Family Business Disputes

In family businesses, where relationships and business objectives are inter twined, disputes and disagreements get more complex. For family business, managing conflicts constructively and confidentially is critical. CAMP has effectively resolved many family business disputes where both personal relationships and business interests have been effectively addressed.

Mediation in Action - Stories of Conflict to Collaboration.

Case Study - A Family Business Dispute

  • X was the founder of a manufacturing business
  • X died without a will. 
  • Disagreement set in amongst his 4 children – his sons A and B and his daughters D and E – regarding inheritance. 
  • All the siblings who were once close to each other now fought over receiving fair share in the business. 
  • Y, the mother who tried hard to resolve the differences between her children was diagnosed with a terminal illness. It was her dying wish that her children find peace again.
  • All the siblings agreed to come for Mediation at CAMP.

The process:

  • Mediation uncovered that X had always wished for his sons to run the business and his daughters to own the real estate upon his death.
  • Sisters D and E were concerned that many of the real estate properties had been mortgaged to support the business.
  • D and E felt that not having any share in the business was unfair in a home that treated the girls equally with the boys.
  • A and B were of the opinion that the running and operations relating to the company should be left entirely with them because D and E had never been involved with the business. Both sisters D and E have been living abroad for the past 30 years since they got married. 

The Outcome

  • The siblings reached a settlement within a week.
  • Sisters D and E were assured that the mortgages against the properties would be cleared by the company.
  • Sisters D and E agreed for the brothers, A and B to take full charge of the company.
  • Real estate property belonging to D and E was clearly identified and secured. The mediator understood subsequently that D and E got more than they had asked for in the settlement by their brothers. 
  • Over time D and E eventually got more than they asked for in the settlement.
  • All the siblings are still in touch with each other and the family stays united.