Mandatory Mediation: Dues and Neighborly Disputes

What Is Mediation?

Mediation is a method of resolving a dispute with the accompaniment of an impartial mediator, without going to court. For certain types of disputes, applying to a mediator before being able to file a lawsuit is provided by law as a prerequisite (a lawsuit condition). The aim is to reduce the burden on the courts and to resolve disputes more quickly and at less cost.

The Situation in Apartment Disputes

Dues receivables and some neighborly disputes may be subject to the mediation stage before a lawsuit is filed. For this reason, a management or owner considering direct litigation must first check whether the process requires mediation. Otherwise, the lawsuit may be rejected on procedural grounds.

Mediation in Dues Receivables

Before taking legal action against an owner who does not pay dues, it must be evaluated whether the receivable is subject to mediation. We covered this process and its relationship with dues collection in detail in our mediation in dues receivables article. This stage, before the enforcement and litigation route, is important for the proper progression of the process.

In Neighborly Disputes

Some disagreements between neighbors are also open to conciliation. On topics such as noise and common-area use, if the parties can come together and find a solution, a long and grueling litigation process is avoided. We explained general rights in neighborly disputes in our neighbor disturbance article.

How Does the Process Work?

In general terms: an application is made, a mediator is appointed, the parties are called to a meeting, and if an agreement is reached, a settlement record is drawn up. The settlement record has the quality of a strong document. If no agreement is reached, the path to litigation opens with the final record. For this reason, it is important to go into the process prepared with the documents at hand (accrual, payment, correspondence).

Common Mistakes

• Skipping the process: Filing a lawsuit without going to mediation when required carries the risk of rejection on procedural grounds.
• Going unprepared: An undocumented application creates a weak position in conciliation.
• Underestimating the record: The mediation record is an important legal document.

This content is for informational purposes. Whether mediation is mandatory varies according to the type of dispute; you must consult a legal counsel.