Mediation is an informal, voluntary process in which a mediator facilitates negotiations between disputing parties. The mediator's role is to help the parties find a mutually acceptable solution to the dispute.
In mediation the parties control:
- who the mediator will be;
- when the mediation will occur; and
- how the dispute will be resolved.
In addition, mediation can be faster and less expensive than arbitration or litigation. If the parties agree to mediate, they will not give up any right to arbitrate or litigate if they cannot reach a satisfactory settlement.
FINRA's mediation program has achieved an 80% success rate — parties who mediate in the forum resolve four out of every five cases.