MEDIATION: A TOOL FOR MEDIATION: A TOOL FOR RESOLUTION AND REVENUERESOLUTION AND REVENUE

Christine A. Derdarian, J.D.Christine A. Derdarian, J.D.

Disputes in State GovernmentDisputes in State Government

Filing litigation on behalf of state Filing litigation on behalf of state agenciesagencies

Defending state agencies Defending state agencies against litigationagainst litigation

Frame of reference always Frame of reference always win/losswin/loss

Litigation perpetuates win/loss Litigation perpetuates win/loss mentalitymentality

Winning cases sometimes costs Winning cases sometimes costs moremore

Concerns of state agenciesConcerns of state agencies -Ballooning workloads-Ballooning workloads -Less staff-Less staff -Smaller budgets -Smaller budgets

Mediation-The AdvantagesMediation-The Advantages

Confidential, private, voluntary Confidential, private, voluntary process used to resolve process used to resolve disputesdisputes

Parties retain controlParties retain control Full opportunity to express Full opportunity to express

concernsconcerns Higher level of complianceHigher level of compliance Each party is required to listen Each party is required to listen

to the otherto the other Faster and less expensive than Faster and less expensive than

litigationlitigation Reduces effects of power Reduces effects of power

differentials and advocates’ differentials and advocates’ skills skills

Mediation-The DisadvantagesMediation-The Disadvantages

No precedents createdNo precedents created No guarantee of No guarantee of

resolutionresolution

Who Benefits From MediationWho Benefits From Mediation

The CourtsThe Courts Government AgenciesGovernment Agencies CompaniesCompanies Professionals/Clients Professionals/Clients IndividualsIndividuals FamiliesFamilies Employers/EmployeesEmployers/Employees EveryoneEveryone

Mediation in Your AgencyMediation in Your Agency

Workload/loss of controlWorkload/loss of control Mandate to collect property taxesMandate to collect property taxes Revenue critical to the localeRevenue critical to the locale Efficient government earns Efficient government earns

respect and compliancerespect and compliance Savings in moneySavings in money Savings in timeSavings in time Creates trust and cooperationCreates trust and cooperation Eliminates need for administrative Eliminates need for administrative

hearingshearings Brings in revenueBrings in revenue Replaces win/lose model with Replaces win/lose model with

win/win modelwin/win model Creates mutuality in problem Creates mutuality in problem

solvingsolving Recognized by many state Recognized by many state

jurisdictions and legal institutions jurisdictions and legal institutions

Mediation ProtocolMediation Protocol Decide upon a uniform system Decide upon a uniform system

of mediationof mediation Refine notice procedures to Refine notice procedures to

taxpayers indicating taxpayers indicating availability/requirement for availability/requirement for mediationmediation

Know factual and legal issuesKnow factual and legal issues Know your bottom lineKnow your bottom line Bring in outside mediator to Bring in outside mediator to

ensure neutrality and control of ensure neutrality and control of mediation environmentmediation environment

Understand litigation is always Understand litigation is always an optionan option

Have policy on press relationsHave policy on press relations Expect the unexpectedExpect the unexpected

Phases of Mediation-The BeginningPhases of Mediation-The Beginning

Decide seating arrangementDecide seating arrangement IntroductionsIntroductions Rules of engagementRules of engagement

-Confidentiality/Signed -Confidentiality/Signed AgreementAgreement-Neutrality of mediator-Neutrality of mediator-Informality of the process-Informality of the process-Ground rules for conduct-Ground rules for conduct-Voluntary participation-Voluntary participation-Note taking-Note taking-Full disclosure-Full disclosure-Mediator is not a judge or trier -Mediator is not a judge or trier of fact and lawof fact and law-Authority to enter an agreement-Authority to enter an agreement-Caucas-Caucas-Agreement as an enforceable -Agreement as an enforceable contractcontract

Phases of Mediation-The MiddlePhases of Mediation-The Middle

Who’s on firstWho’s on first Information sharingInformation sharing Framing the issuesFraming the issues Facilitating discussionsFacilitating discussions Caucas with parties Caucas with parties

separatelyseparately

Phases of Mediation-The EndPhases of Mediation-The End

Parties own the Parties own the agreementagreement

Keep language simpleKeep language simple Put it in writingPut it in writing Make certain all points Make certain all points

are coveredare covered

What the Future HoldsWhat the Future Holds

Pending legislationPending legislation ImplementationImplementation New opportunity to New opportunity to

streamline workstreamline work New opportunity to New opportunity to

achieve complianceachieve compliance New opportunity to New opportunity to

bring in revenuebring in revenue

ResourcesResources

Michigan State Bar-Michigan State Bar-ADR SectionADR Section

County mediation County mediation programsprograms

County bar County bar associationsassociations

Private mediatorsPrivate mediators Reference linksReference links

ConclusionsConclusions

Daunting challengesDaunting challenges Mediation is the wave Mediation is the wave

of the futureof the future Change in mindset is Change in mindset is

worth the effortworth the effort

The EndThe End