Opting for mediation vs. litigation can save you time, money, and stress. The Mediation Act 2012 itself encourages mediation as a “fair, speedy, and cost-effective” way to resolve disputes. Unlike a courtroom battle, mediation is private, flexible, and focuses on mutual agreement rather than adversarial win-lose outcomes. Here are some key benefits of choosing mediation in Malaysia:

• Cost-Effective Resolution: Mediation is typically far cheaper than going to court. A complete mediation process often costs between RM 5,000 – RM 15,000, shared equally by the parties, which is only a fraction of protracted litigation costs – meaning many disputes can be resolved for well under what a lengthy trial would cost. Fewer legal procedures and quicker settlement times translate to significantly reduced legal costs.

• Faster Settlements: Mediation can conclude in days or weeks instead of the months or years a court case might take. Most disagreements can be resolved within a session or two, providing timely resolutions. You set the pace with the mediator, rather than waiting for court dates. This speed allows you to move on with your life or business sooner.

• Privacy and Confidentiality: Mediation sessions are held in private, and the discussions remain confidential. There is no public record of the proceedings, unlike court trials which are typically open. This privacy protects your reputation and sensitive information, making mediation especially suitable for personal family matters or business disputes where discretion is important.

• Preservation of Relationships: Mediation’s collaborative approach helps maintain and even improve relationships between parties. By encouraging communication and mutual understanding, mediation allows family members, business partners, or contracting parties to preserve their relationship after the dispute. There is no bitter courtroom showdown – instead, the mediator facilitates a respectful dialogue. This is ideal for co-parents who must work together after divorce, or companies that may want to continue doing business post-dispute.

• Control and Flexibility: In mediation, you retain control over the outcome. Both parties must agree on the settlement terms – nothing is imposed by a judge. The process is flexible and informal; sessions can be scheduled at your convenience and tailored to the needs of the dispute. If mediation doesn’t succeed, you still have the right to pursue litigation or arbitration afterward, so you’re not risking your legal position by attempting a settlement. This flexibility empowers you to craft creative, win-win solutions that a court might not provide.

Overall, mediation in Malaysia is “confidential, expeditious and generally inexpensive compared to litigation”, offering a smarter path to resolve disputes with less cost and conflict. It’s no surprise that Malaysian courts and the Bar Council encourage parties to mediate whenever possible as a first resort to settling conflicts.