Update on Home Foreclosure Mediation (11/17/09)
Keith Seat
Here is an additional update on Foreclosure Mediation across the U.S. by Mediation News Editor Keith Seat.

IRS Expands Its Appeals Mediation Program (11/10/09)
Keith Seat

The Internal Revenue Service has expanded and refined its mediation program in the Appeals administrative process, which was first introduced over a decade ago. Participation in mediation is voluntary for both the taxpayer and the agency. Among other procedures set forth, the mediator will be an IRS employee trained in mediation and compensated by the agency, while the taxpayer can pay for a non-IRS mediator to join as a co-mediator and can participate in the co-mediator’s selection with the agency. If mediation does not resolve all issues, the parties may request arbitration in appropriate circumstances.

Journal of Accountancy (September 11, 2009).

Farm Mediation Spikes in Minnesota (9/22/09)
Keith Seat

A University of Minnesota study shows that mediation of farm debt has dramatically increased over the last year, with a jump from 133 open cases in July 2008 to 488 cases in July 2009. In total, 2,000 mediation matters were opened in 2008, with negotiation of over $150 million in debt, and 2009 has seen significant increases. Creditors with secured debts over $5,000 against agricultural property in Minnesota are required to offer mediation prior to judgment collection, repossession or foreclosure. Farmers choosing mediation have 90-days to work with lenders to renegotiate their debts.

Business Journal (August 21, 2009); Hutchinson Leader (August 15, 2009)

Update on Home Foreclosure Mediation Efforts (9/22/09)
Keith Seat
Nearly a dozen states have now adopted mortgage foreclosure mediation programs to try to keep people in their own homes. Here is an update.

Legislation Introduced to Extend Federal Agricultural Mediation Program (7/21/09)
Keith Seat

The Certified State Agricultural Mediation Program, administered by the Farm Service Agency of the U.S. Department of Agriculture, helps farmers resolve disputes with lenders and others in order to avoid litigation, appeals, bankruptcy and foreclosure. Legislation has been introduced to extend by five years the Mediation Program, which provides matching federal grants to 35 states.

WIBW (June 26, 2009); USDA Agricultural Mediation Program

IMI Certification Process Progressing (7/07/09)
Keith Seat

The certification process of the International Mediation Institute (IMI) is moving forward, as over 1,000 experienced mediators from 35 countries registered with IMI prior to the closing of the “experience qualification path” on June 30. About 100 mediators have completed their profiles and are now publicly searchable in IMI’s databases, and the profiles of all registered mediators are to be completed by the end of September. IMI is now moving to the next stage in which assessment programs will be developed to qualify other mediators for certification on a wider scale. IMI has been working on a global system to certify the competence of mediators since being established as a non-profit foundation in The Netherlands in April 2007 by the American Arbitration Association, the Netherlands Mediation Institute, and the Singapore Mediation Centre/Singapore International Arbitration Centre.

News Item; IMI Website

Court Requires Mediation in Auto-Parts Maker’s Bankruptcy (6/22/09)
Keith Seat

Delphi Corp., General Motors Corp., the Treasury Department’s auto task force and other lenders were ordered into mediation by the federal bankruptcy court handling Delphi’s bankruptcy. The role of General Motors in funding its auto-parts supplier is a central issue. While acknowledging that good faith negotiations were occurring, the court concluded that mediation may be helpful to find a consensual resolution of the bankruptcy cases.

Bloomberg (USA) (May 22, 2009)

Michigan Businesses Slowly Shifting Towards Mediation (6/15/09)
Keith Seat

Despite inertia, business disputes in Michigan are increasingly being resolved through mediation, rather than litigation or arbitration. However, businesses may often wait too long and participate in mediation only when directed by the court, when they could benefit by seeking out mediation sooner. It is particularly important in the current economic climate to keep down litigation costs and get a settlement in mediation rather than waiting for a later judgment that may not be collectible.

Michigan Lawyers Weekly (April 6, 2009) (Subscription Required)

Kamikaze Conflict – How Might It Damage Your Franchise System? (4/23/09)
Jeff Giddings, Lorelle Frazer
This article considers the circumstances in which business franchise disputes can turn toxic. The complex nature of the relationship between franchisee and franchisor, which involves instances both of common and of competing interests, can lead to parties in conflict acting in ways which are detrimental to their own business interests in an effort to damage the interests of their franchise partner. We refer to this as 'kamikaze conflict' and explore what steps might be taken by franchisors in particular to anticipate and address such difficulties.

New Zealand Considering Ongoing Mediation Role for Online Piracy Disputes (4/01/09)
Keith Seat

A possible last minute compromise between copyright holders and internet service providers would rely on independent mediators to help resolve internet piracy complaints. Mediation would replace an obligation on ISPs and server operators to investigate piracy complaints and bar clients from the web, which would be imposed by the revised Copyright Act. Advocates of internet freedom marched on Parliament to protest the legislation, which was set to take effect at the end of February.

New Zealand Herald (February 20, 2009)

Can Mediation Evolve into a Global Profession? (3/24/09)

Mediation is an organism that thrives in particular niche ecosystems like the UK, Australia, and North America. The question is whether it can thrive in other locations, and whether it can be used to resolve cross-border disputes. Anyone who has experienced mediation will understand its potential to grow and flourish as a critical part of a globally inter-connected economy, but it would be folly to ignore the challenges in breaking out of a local niche practice.   1 Comment

Update on Home Foreclosure Mediation (3/15/09)
Keith Seat
Updates on home foreclosure mediation and other critical mediation practice news are chronicled by Keith Seat in Mediation News (available to Mediate.com Premium Members).   2 Comments

The Unique Value of Becoming IMI Certified (2/25/09)
Irena Vanenkova
A practical solution to a fundamental problem has arrived - a global online certification scheme to enable credible details on only the world’s most competent and experienced mediators to be searched on a single search engine. What is going on and why?

Negotiating a Debt Restructuring: The Out of Office AutoReply (2/23/09)
John DeGroote
As I write this I’m on yet another plane ride, but this one’s different. I’m flying home following some of the most intense, important negotiations I’ll ever be a part of. This isn’t a post about the details of our negotiations, since it’ll never be appropriate to write about most of those. Today I write simply to ask for your patience, because I won’t be posting much for the next month or two.

A Perfect Storm is Gathering (2/18/09)
Michael Leathes
A Perfect Storm is gathering, comprising the effects of severe economic downturn, the alacrity with which corporate law departments seek greater transparency and outcome certainty, and new tools in the field of information and communication technology. This convergence provokes serious changes in attitude and approach by all dispute resolution stakeholders – especially trial lawyers, mediators and mediation provider organizations. The status quo has had its day. Good news for those nimble enough to adapt quickly. This article is jointly written by a group of twelve institutional users of mediation services.   3 Comments

States Using Mediation to Provide Consumer Restitution (2/17/09)
Keith Seat

The Consumer Affairs Mediation Center of the Nebraska attorney general’s office handled over 4,100 complaints and recovered almost $1 million for consumers in 2008. With fifteen full-time staff members, the Nebraska Mediation Center also helps consumers avoid scams and sends consumers on to counsel in the attorney general’s office if the circumstances warrant litigation. Similarly, in Iowa, the Consumer Protection Division of the Iowa attorney general’s office obtained benefits of over $1.3 million for consumers in 2008.

Lincoln Journal Star(January 4, 2009) (Subscription Required); Omaha World-Herald (January 23, 2009) (Subscription Required)

Nebraska Mediation Program Expands Information Provided (2/04/09)
Keith Seat

The Nebraska Department of Agriculture’s Farm Mediation Service conducts monthly informational workshops on issues of farm finances, debt restructuring and other legal issues in an effort to help those it serves solve problems themselves. Recent workshops have focused on farmers’ obligations under forward contracts for grain in light of the uncertainties created by the bankruptcy of a major ethanol producer. The numbers attending the clinics has increased over the last five years, but the number of mediations in the program has not increased.

Grand Island Independent (December 30, 2008)

Update on State Programs for Mediation of Home Foreclosure Disputes (1/21/09)
Keith Seat

• Connecticut’s foreclosure mediations have saved the homes of about 360 homeowners in the past five months, but the mediation program is reaching less than 30 percent of those eligible. The governor has proposed making the mediation program mandatory for all homeowners facing foreclosure. Mediators in the program report that lenders were initially skeptical, but are now willing to participate and actively negotiate solutions. Hartford Business (December 8, 2008)
• New Jersey has enacted foreclosure prevention legislation which allocates $12 million for additional mediation and counseling through the Housing and Mortgage Finance Agency, and $500,000 for state courts to provide mediation services to homeowners facing foreclosure, Bizjournals.com (December 1, 2008)
• In order to implement the New Jersey Residential Foreclosure Mediation Program, the state Supreme Court has relaxed several court rules, including minimum requirements for mediators in the program. New Jersey Law Journal (November 24, 2008) (Subscription Required); New Jersey Foreclosure Mediation Information and Forms
• Wisconsin is considering legislation that would require lenders to offer mediation to homeowners before proceeding with foreclosure. Milwaukee Journal Sentinel (December 12, 2008)
• Legislation modeled on the 1986 Farmer-Lender Mediation Act is proposed in Minnesota to curb home foreclosures by giving homeowners the right to request mediation in an effort to renegotiate their mortgage terms with lenders. Bizjournals.com (November 21, 2008)

Mediation Successful in Providing Consumer Restitution (1/21/09)
Keith Seat

Missouri’s attorney general recovered $9.5 million for consumers through mediation in 2008, exceeding the previous mediation record, plus an additional $6 million through civil and criminal litigation. The attorney general’s office handled about 120,000 contacts from consumers during 2008, including over 40,000 formal complaints.

US State News (December 30, 2008) (Subscription Required)

What High-Low Agreements Can Do for You: Settlement Structures Part III (12/23/08)
John DeGroote
The fiscal year ends in just two weeks, and for some reason your client’s auditors keep focusing on that Acme Tool case. It’s been around all year, but somehow they won’t let go of Acme’s claim for punitive damages. You know punitives are out of the question and your opponent probably knows it, too, but accountants aren’t much for hunches. Since the case isn’t ready for settlement, Acme Tool’s claim makes its way to your auditor’s punch list for later discussion. Do you have a choice here?

International Trade Commission Begins Pilot Mediation Program (12/17/08)
Keith Seat

The U.S. International Trade Commission has launched a pilot mediation program for section 337 investigations, as an initial step towards a permanent mediation program. Participation by parties in the pilot program is voluntary. The program relies on pro bono mediators, most of whom also mediate in the U.S. Court of Appeals for the Federal Circuit. While mediation is confidential and the Commission investigative attorney will not participate or have knowledge of the mediation, the investigative attorney may review any settlement agreement that results from mediation in order to make a recommendation on whether the settlement is in the public interest.

U.S. International Trade Commission Notice 73 Fed. Reg. 65,615 (November 4, 2008); Pilot Mediation Program Information

Mediation Process Proposed for Grain Shipping (11/05/08)
Keith Seat

Montana farmers are considering a proposal to use mediation to resolve disputes over grain freight rates with BNSF Railway. Grain producers currently are not considered shippers by the Surface Transportation Board despite paying the freight, and must rely on grain elevator companies to file cases. The proposed agreement with BNSF would first rely on mediation and then resolve any remaining issues with binding arbitration by an independent arbitration board.

Great Falls Tribune (October 16, 2008)

Using Creativity When Negotiating Commercial Disputes – A Challenge For Lawyers? (10/14/08)
Anke Meier
The article entitled “Using Creativity when Negotiating Commercial Disputes – A Challenge for Lawyers?” raises the question if and how lawyers should use creative tools when negotiating disputes in an area of law which typically is highly competitive and litigated.

KISS Mediators Rock ABA Conference: Why Would Three Self-Respecting Professional Mediators Play Dress-Up? (10/14/08)
Lee Jay Berman
An interesting name for an ABA conference session, but what does rock and roll have to do with mediation? Answer: it was about a taking a Rock-N-Roll attitude toward mediating commercial cases. But why the make-up?   1 Comment

Mandatory Mediation Programs Help Homeowners Facing Foreclosure (10/14/08)
Jeffrey Krivis, Mariam Zadeh
In light of all the recent dismal activity in the housing market, states across the nation are responding with mandatory mediation programs to provide some form of relief to struggling homeowners.