What is a Mediator’s Proposal and How Can It Settle Car Crash Claims?

Most judges require mediation before presiding over a contested hearing. However, judges cannot force the parties to settle their disputes at mediation. If the parties reach a stalemate at mediation, a mediator may send “a mediator’s proposal” to help the parties resolve their contested issues.

What is Mediation?

Mediation is a form of alternative dispute resolution. It aims to help litigants—and the legal system—avoid contested hearings. At mediation, an impartial person known as a “mediator” facilitates communication between the parties to promote reconciliation, settlement, and understanding. The bulk of a mediator’s job is to speak privately with each party to learn more about the contested issues, understand each party’s position, and convey settlement offers from one party to the other. 

What is a Mediator’s Proposal?

In a car crash mediation, a mediator’s proposal suggests a settlement number for the parties to accept or reject without modification. Usually, the mediator gives the parties a certain number of days to consider and accept the proposal. If the parties do not accept the proposal within that time frame, the proposal lapses. 

If all parties accept the mediator’s proposal, the case settles, and the proposal becomes binding on the parties as a mediated agreement. However, if any party rejects the proposal or if the proposal lapses, the mediator informs the parties there is no deal. Then, the parties continue the litigation process as if they had not attempted to mediate. All aspects of mediation, including discussions between the parties and offers of settlement, are confidential and inadmissible in future legal proceedings.

When is a Mediator Likely to Make a Mediator’s Proposal?

Good mediators spend most of their time trying to close the gap between the parties’ positions. Generally, the longer the parties negotiate, the more that gap shrinks. However, the parties sometimes reach an impasse and refuse to negotiate further. The parties may make “firm and final” offers and even threaten to walk out of mediation prematurely. This stalemate usually occurs towards the end of the allotted time for mediation. When further negotiation seems futile, a mediator may send a mediator’s proposal as a final effort to help the parties resolve the case without further expense and litigation. 

Before sending a mediator’s proposal, the mediator must first determine whether the parties are willing to consider and accept a proposal. If the parties are responsive to a proposal, the mediator makes a proposal that stretches the parties beyond their final negotiated positions while not stretching so far that the parties reject it. In a car crash mediation, the mediator’s proposal is usually a settlement number that neither party feels comfortable suggesting and that neither party likes. The chances of settling a case following a mediator’s proposal depend on many factors, including the parties’ willingness to resolve the case, the mediator’s ability to gauge the strength and weakness of each party’s case, and the rapport the mediator builds with the parties during the initial stages of mediation.

Call an Experienced Accident Attorney Immediately After a Car Crash

Almost all lawsuits—including car crash cases—go through mediation. To be successful, you need an injury lawyer with experience handling, mediating, and settling insurance claims. If someone else’s negligence injures you or a loved one, you have enough things to worry about. Do not let dealing with the at-fault driver’s insurance company be one of them. We deal with the insurance company so you can focus on getting your life back to normal. You have one chance to do this; make the right choice by choosing the right attorney. Call us at (956) 291-7870 or email us at contact@rdjlawyer.com for a free consultation and case evaluation.