Mediation is a flexible, voluntary, and confidential way of resolving disputes. It involves an independent mediator who helps the parties talk through the issues and work towards a settlement they can both live with. The mediator doesn’t take sides or impose a decision but supports constructive discussion and negotiation.
The process gives the parties a clear structure for having those conversations, which can be especially useful when direct negotiations haven’t got very far. With the mediator’s help, parties can explore their options, deal with sticking points, and move closer to agreement.
One of the strengths of mediation is that it allows the parties to shape their own solution. Outcomes can be practical, creative, and tailored to what matters to them, rather than being limited to what a court or arbitrator could order.
Mediation is not generally used to resolve disputes relating to pay, conduct or dismissal (the ACAS code for disciplinary and grievances can be used instead). It can be used to resolve contract issues, and disagreements at work, including personality clashes, bullying and harassment and relationship breakdowns.
To be enforceable, a mediation clause must be sufficiently certain and clear about the process being used.
Everything discussed in mediation is confidential, and any settlement only becomes public if the parties agree. If mediation doesn’t resolve the dispute, the option of going to court remains open.
Mediation helps shift the focus away from what happened in the past and towards where the parties are now and what they need going forward. Instead of revisiting old disputes, it encourages practical, forward-looking conversations.
Mediation is also highly effective. CEDR (a well-respected mediation charity) published a report in 2025 that shows that around 87% of mediations result in a settlement or meaningful progress in the case. Even when a final agreement isn’t reached on the day, mediation often helps clarify the issues and the next steps.
Resolving a dispute early through mediation can save significant time and cost. Lower legal and management expenses mean less disruption to the business and more space to focus on productive work.
Mediation supports safe and inclusive working environments by providing a fair, confidential process for addressing workplace concerns in a respectful and balanced way. It encourages constructive dialogue rather than adversarial positions, helping issues to be managed early and appropriately.
By focusing on collaboration and understanding, mediation aligns with industry standards for inclusive practice and supports a positive, learning-focused workplace culture, while helping to preserve and repair working relationships.
If any dispute arises in connection with this agreement, the parties agree to enter into mediation in good faith to settle the dispute and will do so in accordance with the CEDR Model Mediation Procedure. Unless otherwise agreed between the parties within 14 days of notice of the dispute, the mediator will be nominated by CEDR.
This clause requires the parties to attempt to resolve any dispute through mediation. It refers to the CEDR Model Mediation Procedure, which sets out clear guidelines for how the mediation will be conducted and requires the parties to comply with CEDR Model Mediation Agreement. That agreement will cover practical matters such as the nature of the dispute, the appointment of the mediator, and the timing and location of the mediation.
If any dispute arises in connection with this agreement, the parties agree to enter into mediation in good faith to settle the dispute and will do so in accordance with the CEDR Model Mediation Procedure. Unless otherwise agreed between the parties, within 14 [working] days of notice of the dispute, the mediator will be nominated by CEDR. To initiate the mediation a party must give notice in writing (‘ADR notice’) to the other party[ies] to the dispute, referring the dispute to mediation. A copy of the referral should be sent to CEDR.
[If there is any point on the logistical arrangements of the mediation, other than the nomination of the mediator, upon which the parties cannot agree within 14 [working] days from the date of the ADR Notice, where appropriate, in conjunction with the mediator, CEDR will be requested to decide that point for the parties having consulted with them.]
Unless otherwise agreed, the mediation will start not later than [28] [working] days after the date of the ADR notice.
This addresses concerns that mediation might delay resolution by making clear that it is intended to happen quickly. The service of an ADR Notice triggers the start of the process, with a copy sent to CEDR so it can help move matters forward without delay.
If the parties cannot agree on practical arrangements, they can ask CEDR to decide them after consultation. These arrangements may include the venue or location, the date and start time of the mediation, and deadlines for exchanging documents.
If any dispute arises in connection with this agreement, the parties agree to enter into mediation in good faith to settle such a dispute and will do so in accordance with the CEDR Model Mediation Procedure. Unless otherwise agreed between the parties within 14 [working] days of notice of the dispute, the mediator will be nominated by CEDR. To initiate the mediation a party must give notice in writing (‘ADR Notice’) to the other party[ies] to the dispute, referring the dispute to mediation. A copy of the referral should be sent to CEDR.
[If there is any point on the logistical arrangements of the mediation, other than the nomination of the mediator, upon which the parties cannot agree within 14 [working] days from the date of the ADR Notice, where appropriate, in conjunction with the mediator, CEDR will be requested to decide that point for the parties having consulted with them.]
Unless otherwise agreed, the mediation will start not later than [28] [working] days after the date of the ADR Notice. The commencement of mediation will not prevent the parties commencing or continuing court proceedings/arbitration.
This wording is not strictly necessary, as nothing in the core mediation clause prevents a party from starting or continuing court or arbitration proceedings. CEDR’s Model Mediation Procedure allows litigation or arbitration to proceed unless the parties agree otherwise. However, including this wording may provide additional reassurance for parties who want to preserve the option of going to court or arbitration.
When arranging the mediation, parties may ask CEDR to decide practical matters after consulting with them. These may include the venue or location, the date and start time of the mediation, and deadlines for exchanging documents.
If any dispute arises in connection with this agreement, the parties agree to enter into mediation in good faith to settle such a dispute and will do so in accordance with the CEDR Model Mediation Procedure. Unless otherwise agreed between the parties within 14 [working] days of notice of the dispute, the mediator will be nominated by CEDR. To initiate the mediation a party must give notice in writing (‘ADR Notice’) to the other party[ies] to the dispute, referring the dispute to mediation. A copy of the referral should be sent to CEDR.
[If there is any point on the logistical arrangements of the mediation, other than the nomination of the mediator, upon which the parties cannot agree within 14 [working] days from the date of the ADR Notice, where appropriate, in conjunction with the mediator, CEDR will be requested to decide that point for the parties having consulted with them.]
Unless otherwise agreed, the mediation will start not later than [28] [working] days after the date of the ADR Notice. No party may commence any court proceedings/arbitration in relation to any dispute arising out of this agreement until it has attempted to settle the dispute by mediation and either the mediation has terminated or the other party has failed to participate in the mediation, provided that the right to issue proceedings is not prejudiced by a delay.
The purpose of this wording is to discourage court or arbitration proceedings from running alongside mediation, as doing so can undermine the chances of settlement. Mediation is often more effective before formal proceedings begin and positions become entrenched. Under the law of England and Wales, the courts can still grant interim relief, but will generally stay proceedings to allow the parties to comply with an agreement to mediate.
When arranging the mediation, the parties may ask CEDR to determine practical arrangements after consulting with them. These may include the venue or location, the date and start time of the mediation, and deadlines for exchanging documents.
If any dispute arises in connection with this agreement, a director [or other senior representatives of the parties with authority to settle the dispute] will, within [14] [working] days of a written request from one party to the other, meet in a good faith effort to resolve the dispute.
If the dispute is not wholly resolved at that meeting, the parties agree to enter into mediation in good faith to settle such a dispute and will do so in accordance with the CEDR Model Mediation Procedure. Unless otherwise agreed between the parties within 14 [working] days of notice of the dispute, the mediator will be nominated by CEDR. To initiate the mediation a party must give notice in writing (‘ADR Notice’) to the other party[ies] to the dispute, referring the dispute to mediation. A copy of the referral should be sent to CEDR.
[If there is any point on the logistical arrangements of the mediation, other than the nomination of the mediator, upon which the parties cannot agree within 14 [working] days from the date of the ADR Notice, where appropriate, in conjunction with the mediator, CEDR will be requested to decide that point for the parties having consulted with them.]
Unless otherwise agreed, the mediation will start not later than [28] [working] days after the date of the ADR Notice.’
The commencement of mediation will not prevent the parties commencing or continuing court proceedings/arbitration.
Version 1 allows court proceedings to run in parallel with mediation.
No party may commence any court proceedings/arbitration in relation to any dispute arising out of this agreement until it has attempted to settle the dispute by mediation and either the mediation has terminated or the other party has failed to participate in the mediation, provided that the right to issue proceedings is not prejudiced by a delay.
Version 2 requires mediation to be completed before court proceedings begin.
This adds an extra step of negotiation before mediation. It also allows the parties to choose whether arbitration or court proceedings can run alongside the mediation, or whether they must wait until the mediation has formally ended.
When arranging the mediation, the parties may ask CEDR to decide practical matters after consulting with them. These may include the venue or location, the date and start time of the mediation, and deadlines for exchanging documents.
If any dispute arises in connection with this agreement, the parties will attempt to settle it by mediation in good faith in accordance with the CEDR Model Mediation Procedure and the mediation will start, unless otherwise agreed by the parties, within 28 days of one party issuing a request to mediate to the other. Unless otherwise agreed between the parties, the mediator will be nominated by CEDR.
The mediation will take place in [named city/country; city/country of either/none of the parties] and the language of the mediation will be [English]. The Mediation Agreement referred to in the Model Procedure shall be governed by, and construed and take effect in accordance with the substantive law of [England and Wales].
If the dispute is not settled by mediation within [14] days of commencement of the mediation or within such further period as the parties may agree in writing, the dispute shall be referred to and finally resolved by arbitration. CEDR shall be the appointing body and administer the arbitration. CEDR shall apply the UNCITRAL rules in force at the time arbitration is initiated. In any arbitration commenced pursuant to this clause, the number of arbitrators shall be [1-3] and the seat or legal place of arbitration shall be [London, England].
Use this clause for international contracts, where the parties are based in different jurisdictions. Consideration should be given to including provisions on the location and language of the mediation, as well as the governing law and jurisdiction of the mediation agreement.
If mediation does not resolve the dispute, the clause refers to arbitration under CEDR’s auspices, although the parties may agree to use a different arbitral institution and rules. The clause may also be amended to refer to “CEDR, London” to make CEDR’s location clearer for international parties.
The requirement for CEDR to appoint a mediator within 14 days of notice has been removed, recognising that cross-border mediations can sometimes take longer to arrange.