Remedies for Breach of Mediation Agreements

Remedies for Breach of Mediation Agreements

When parties enter into a mediation agreement, they often seek a resolution to a dispute outside of court. A mediation agreement is a contract between the parties outlining the terms and conditions agreed upon during mediation. However, if one party fails to comply with the terms of the agreement, this is considered a breach.

The remedies for breach of mediation agreements can vary depending on the jurisdiction and the specifics of the case, but generally include:

1. Specific Performance: This remedy requires the breaching party to fulfill their obligations as outlined in the mediation agreement. For example, if a party agreed to make a payment by a certain date and fails to do so, the court may order them to pay the agreed amount.

2. Damages: The non-breaching party may be entitled to damages, which are monetary compensation for losses incurred due to the breach. This could include direct losses from the breach, as well as consequential damages that directly result from the non-compliance.

3. Injunction: In some cases, a party may seek an injunction, which is a court order that directs the breaching party to stop a particular action or to take specific actions in compliance with the mediation agreement.

4. Rescission: This remedy allows the non-breaching party to cancel the mediation agreement entirely. This is typically used when the breach is substantial and undermines the purpose of the agreement.

5. Contempt of Court: If the mediation agreement has been formalized and is enforceable by a court order, a breach may lead to contempt proceedings, where the non-compliant party could face penalties imposed by the court.

Overall, the choice of remedy depends on the nature of the breach, the terms of the mediation agreement, and the jurisdiction’s legal framework.