In an ideal world, disputes would be resolved amicably, but in practice, adversarial methods like litigation and arbitration are often used. Arb-Med-Arb, short for Arbitration-Mediation-Arbitration, is a dispute resolution process that seeks to integrate mediation into the traditional arbitral process.
The purpose of this approach is to provide parties with an additional opportunity to settle their disputes amicably and preserve their relationships, rather than resorting directly to adversarial methods like litigation and arbitration.
Under Arb-Med-Arb, parties involved in arbitration proceedings can “pause” the arbitration to attempt mediation in an effort to reach a settlement. If mediation does not lead to a settlement, parties can continue with the arbitration proceedings.
These multi-tiered dispute resolution clauses, which are not uncommon in Singapore, require parties to explore mediation, negotiation, or conciliation before resorting to arbitration. Both the Singapore International Arbitration Centre (SIAC) and Singapore International Mediation Centre (SIMC) offer Arb-Med-Arb protocols.