Is mediation binding on the parties involved?
Mediation is an alternative dispute resolution process in which two parties in disagreement attempt to reach a resolution through facilitated discussion. In Wisconsin, mediation is a voluntary process and is not a legally binding resolution. This means that the parties involved still have the ability to pursue other legal avenues such as arbitration or filing a lawsuit in order to settle the dispute. However, if both parties involved agree to the terms of the settlement or resolution outlined during mediation this agreement can be enforced by the court. A mediator can draft a document called a "settlement agreement" which is a legally binding contract which can be enforced by the court if one of the parties does not abide by the agreed upon terms. In addition, Wisconsin law also provides authority for "assisted negotiations". In assisted negotiations, the mediator drafts a document outlining the terms of the agreement and then both parties involved must sign the document to indicate that they agree to the terms. In summary, mediation is a voluntary process in Wisconsin and is not binding on the parties until a formal agreement is signed. However, formal agreements that are reached during mediation can be enforced by the court to ensure that the parties abide by the agreed upon resolution.
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