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Print articleMediation In Sweden: A Viable Alternative
September, 2014 - Lisa af Burén and Sofie Haggård Larsson
The starting point for mediation in commercial disputes is that the parties themselves are in the best position to resolve the dispute, instead of entrusting it to an arbitrator or a judge. In this way, the parties retain control over their conflict, thus increasing the opportunities to reach a flexible solution. In this article we will briefly review the alternatives offered by the public courts in Sweden when a dispute already has emerged. We will also describe the possibility of using the Mediation Act at an early stage and briefly review the new mediation rules of the Stockholm Chamber of Commerce. We will also highlight a number of reasons to choose mediation as adispute resolution alternative in Sweden. Finally, we will try to answer the question why mediation is not (as of yet) more widespread in Sweden.
Negotiated settlement at general courts
When a dispute already has been brought before the District Court, the court has a duty to encourage the parties to settle, if this is not unsuitable, with regard to the nature of the case and other circumstances.1 The purpose is naturally to spare the parties unnecessary litigation costs when a settlement could have been reached. The question of settlement will almost always arise during the preparation of the case, often by the judge raising the matter during the oral preparatory hearing and then, if the parties show interest, conducting settlement negotiations. Such negotiations cost the parties no more than the time for any counsel engaged during the negotiations. Different courts and, above all, different judges have varying approaches to conducting the settlement negotiations. Certain judges are perhaps satisfied with a short question as to whether the parties wish to settle, whilst others are more active in their efforts to achieve settlement and schedule specific settlement conferences to this end.
