Dear all,
Making Offer in Mediation
I am Natalia Cheung, a Hong
Kong International Arbitration Centre (HKIAC) Accredited Mediator and a
practising solicitor in Hong Kong.
I would like to share with you information on making
offer in mediation.
(1) Insulting
(2) Credible
(3) Reasonable
(1) Insulting offer: E.g. offer that has already been
repeatedly rejected by the other side or any offer (if accepted) would mean a total
loss to that party.
Making insulting offer to the
opposite party would not generate any positive response and would probably ruin
the mediation process. Party in mediation should avoid making such offer to the
other side
Making an offer with too much
of a concession would likely embolden the opposite side and create more difficulty
in the negotiation process.
(2) Credible offer: This type of offer facilities the parties to
anchor the negotiation and encourage mutual examination and adjustment of the
expectations of both parties in attempting settlement by mediation. Parties
should clearly indicate that the offer is negotiable or support their offer with
explanation or justification in making offer that is at the borderline of a credible
offer or an insulting offer.
(3) Reasonable offer: It is an offer that would
generally be acceptable to the parties in disputes and that settlement could be
reached between the parties. Parties in mediation should therefore work
together towards the making of such offer.
When the negotiation is in
progress, the parties should enable the mediator to review and comment on the
offers made by the respective parties, their negotiation pace and pattern, and
the remaining gap between the parties. This in turn could help the parties to
make an informed decision of whether smaller or large moves should be made in
the negotiation process of mediation.
E-mail: natalia@plaw.hk
Natalia Cheung
HKIAC Accredited Mediator & Hong Kong Solicitor
Pang Kung & Co. Solicitors & Notaries & Civil Celebrants of Marriages
HKIAC Accredited Mediator & Hong Kong Solicitor
Pang Kung & Co. Solicitors & Notaries & Civil Celebrants of Marriages
Disclaimer: The above is for your
information and reference only. The contents do not constitute legal advice or
a substitute for legal advice in individual cases.