ADR agreement likened to arbitration agreement
A and B contract on terms that they will attempt to resolve disputes through mediation or other ADR procedure. B goes rushing off to court. Can A, by applying for a stay or adjournment, insist that B adheres to what was agreed?
In most cases, the answer will be “yes”: see
That does not mean that A will necessarily get the stay he is seeking. As explained by Colman J, there may (depending upon the facts) be good discretionary reasons for allowing B’s action to proceed.
Related items:
ADR agreement likened to arbitration agreement
A and B contract on terms that they will attempt to resolve disputes through mediation or other ADR procedure. B goes rushing off to court. Can A, by applying for a stay or adjournment, insist that B adheres to what was agreed?
In most cases, the answer will be “yes”: see Argue the indefensible Estates Gazette 25 January 2003, p149, where Stuart Pemble, of Mills & Reeve, considers the implications of Cable & Wireless plc v IBM United Kingdom Ltd [2002] EWHC 2059 (Comm Ct); [2002] 2 All ER (Comm) 1041. Subject to the wording of the agreement, what B cannot contend is that it amounted to no more than an unenforceable agreement to negotiate.
That does not mean that A will necessarily get the stay he is seeking. As explained by Colman J, there may (depending upon the facts) be good discretionary reasons for allowing B’s action to proceed.
Related items:
PP 2002/186
PP 2002/210
