Mediation vs. Litigation: Which is Better for Your New Jersey Legal Dispute

Facing a lawsuit can be an overwhelming and stressful situation. Whether it’s a contract disagreement, property boundary issue, business dispute, personal injury claim, or another civil matter, most people think the only way to resolve a legal dispute is by going to court. However, there is an alternative that is often faster, less expensive, and less stressful.

Mediation is one of the more common methods that attorneys and their clients use to resolve their case. Mediation is so popular among attorneys and litigants as it is generally regarded as more efficient, cost effective, and flexible in arriving at a decision that may benefit both sides of the lawsuit.

What is Mediation?

Mediation is a voluntary and confidential dispute resolution process where the mediator, a neutral third-party, facilitates negotiations between the parties to help them reach a settlement. Throughout the mediation process the mediator will not make a decision about a possible outcome of the case but may provide guidance and insight based on their experience and knowledge of the law. The mediator may come up with solutions that if the case proceeded to trial would otherwise not be considered.

Mediation is so popular among attorneys and litigants as it is generally regarded as more efficient, cost effective, and flexible in arriving at a decision that may benefit both sides of the lawsuit. In fact, mediation is so popular and effective that New Jersey Court Rules 1:40-4 & 1:40-6 provide guidelines for this process.

What is Litigation?

Litigation is the traditional court-based process of resolving disputes. Litigation involves filing a lawsuit, engaging in formal discovery, submitting motions, and potentially going to trial. This is what comes to most peoples’ mind when they think of lawyers doing their job. They imagine a lawyer standing in front of a judge, with a jury of their peers off to the side of the courtroom, dramatically arguing the facts of their case. However, this is just a small part of a litigation attorney’s job. As a matter of fact, it is estimated that less than 3% of lawsuits go to trial nationwide! 

While litigation can sometimes be the best or only option, it’s often a lengthy, costly, and emotionally taxing process. That is why it is important to consider alternative dispute resolution (ADR) options before deciding to litigate.

How to Choose Which Option Works Best for Your Legal Dispute

Before choosing whether mediation is right for you, it is helpful to understand some basic pros and cons:

Pros

1. Lower Costs – Mediation is usually far less expensive than litigation. You can avoid high court fees, prolonged attorney involvement, and costly expert witnesses by choosing to mediate.
2. Faster Results – Mediation can result in a faster resolution to disputes when compared to litigation, which may take years due to backlogged courts and procedural delays.
3. Flexibility – Mediation sessions are less formal and can be scheduled around each party’s needs. The mediator also encourages each party to tell their story in their own way, acknowledging their emotions which promotes moving toward a settlement and helping the other party understand how their actions impacted you legally, financially, and emotionally.
4. Privacy & Confidentiality – Mediation is a private process. Unlike court cases, which becomes public record once filed, mediation allows you to keep sensitive details confidential.
5. Preserving Relationships – Mediation focuses on collaboration between the parties, making it ideal for disputes involving family members, business partners, neighbors, or others who will have to maintain an ongoing and cordial relationship after the dispute is resolved. 

Cons

1. No Guaranteed Resolution – Mediation is not always guaranteed to result in an agreement. If the parties cannot reach an agreement, mediation may fail, and litigation could still be necessary.
2. Non-Binding (unless agreed upon) – The mediator cannot force the parties to reach an agreement, even if a fair and reasonable one is proposed. The parties must both agree to be bound by the terms of any agreement. Litigation will result in a judgment which is enforceable by law and provides you with access to tools to collect on that judgment.
3. Limited Leverage – Without the threat of a court judgment, one party may feel less inclined to cooperate in mediation or negotiate fairly. Additionally, litigation follows a structured process, and you can compel a party to participate.

Choosing between mediation and litigation depends on your specific situation. Mediation is often the best choice if you want to save money, resolve your dispute quickly, maintain privacy, and preserve relationships. However, litigation may be necessary if the other party refuses to cooperate or if your case involves complex legal issues requiring a judge’s intervention.

Seeking Professional Guidance

Mediation and litigation serve different purposes in the legal realm, and by understanding both processes you can choose the route that best aligns with your goals and needs. Before making your decision, it is important to consult with an experienced New Jersey attorney who can evaluate your case, explain the implications of each route, and provide you with guidance and advice toward the best strategy for your unique circumstances. Having a knowledgeable attorney on your side can help ensure you are making an informed decision and protecting your rights every step of the way. 

At Scura, Wigfield, Heyer, Stevens & Cammarota, LLP, our experienced New Jersey attorneys are here to guide you every step of the way. We will help you understand your legal options, explain the pros and cons of each process, and fight to protect your rights and interests.

Contact us today for a free consultation. Call us now or fill out our online contact for to get started. Let us help you resolve your legal dispute efficiently and effectively.