Ronnie REALTOR^® is off this week to Chicago to be trained as a Mediator. A few days of R & R, I thought, while learning a few new tricks. Wow, was I wrong. It is the end of the first day, and my brain can't absorb anything else.

What a wonderful tool we have in the process of Mediation. The National Association of REALTORS^® would like Mediation to become the norm rather than the exception. Mediation is offered, usually prior to an Arbitration hearing, when there is a dispute between two REALTORS^® over a commission. In many of the cases, both REALTORS^® have expended time and effort with a client. Usually, somewhere in the transaction, there is a break in the series of events which then leads to another uninterrupted series of events, leading to the culmination of the transaction. Wouldn't it be better for the REALTORS^® to sit across from each other, with a Mediator in between them, to openly discuss each other's efforts and decide mutually what is fair to both parties.

In Mediation, there is usually a split of some sort of the commission, but if the REALTORS^® go to Arbitration, one REALTOR^® will get 100% of the commission and the other REALTOR^® will get zero. It seems obvious, then, why NAR would like to see more REALTORS^® to pursue Mediation than Arbitration. Mediation results in a win-win solution, while Arbitration is a win-lose process. Non-prevailing parties often remain convinced of their entitlement, while prevailing parties frequently resent having to endure the arbitration process simply to be "awarded" monies they view as rightfully theirs from the start.

Effective communication is at the core of successful mediation. Many people take for granted the role of communication in relationships. Mediators not only need to use strong communication skills to understand a dispute and to connect to the parties; they also need to help the parties to engage in a constructive exchange when their own poor communication skills may be at the heart of the conflict.

Mediation is clearly less confrontational and adversarial than arbitration. It encourages disputing parties to work amicably together to fashion mutually acceptable solutions.

Mediation is purely voluntary. No one has to use it, but it can save time and money and can be quicker, easier, and more amicable for resolving business disputes than arbitration.

Mediation is the best alternative because you have more control over the results, a better chance to communicate your story, and it strengthens REALTOR^® relationships through mutual gain and satisfaction.

So the next time you have a commission dispute, I highly encourage you to consider using Mediation rather than face a full Professional Standards Arbitration hearing. I think you'll be glad you did!

See you next week!

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