If you are facing costly litigation because of a commercial dispute, this dispute resolution case study will interest you.
When Mark and Phil first contacted us, the situation looked bad. The two former friends had been working together on a huge project in the telecommunications industry. The contract was worth millions. It was for a major client who had offices and outlets all around the country.
But things had turned sour…
The client wasn’t happy because the new systems were failing and interrupting business.
Now Mark claimed that Phil owed him more than one million dollars in fees. But Phil refused to pay because he said Mark’s incompetence had destroyed his reputation with an important client.
The dispute was heading for a long, stressful litigation.
This potential litigation would have consumed Phil and Mark for years. It would have distracted them from their core business. In addition, whoever lost would have faced certain financial ruin. Neither company had the means to pay double legal costs and stay solvent.
That was when we got involved
We explained our unique eight-step dispute resolution process and the two men embraced it. Within two months, we had resolved the principal dispute at a total cost of $12,000. Litigation could have gone on for 2 years and cost over $150,000 each in legal fees.
Mark and Phil were elated.
Even better, we later found out that Phil completed the contract without further incident and didn’t suffer any hit to his company’s commercial reputation. Mark’s business survived and went on to bigger and better things.
Thank to our help, the two men are still friends.
Dispute Resolution in Eight Steps
If you are in a similar situation to Mark and Phil, then here are the eight steps we applied to resolve their dispute and avoid litigation…
Step 1 – Correct Diagnosis: We spent time to undercover the real issues and factors that were driving the dispute. We worked with each party to identify the commercial interests that were critical to any resolving the dispute.
Step 2 – Triage: We spent time with each party to work out the best strategy options to effectively manage their dispute.
Step 3 – Prognosis: We mapped out the likely scenario and risks the parties would face if they chose to pursue litigation and compared that with our proposed alternative.
Step 4 – Blueprint: We prepared a blueprint for successfully managing the dispute to achieve a successful early resolution.
Step 5 – Agreement: We had each party review, understand and approve an agreed dispute management blueprint.
Step 6 – Contain and Deescalate: We took immediate steps to contain the dispute and prevent it from escalating any further. This included a protocol to manage all communications between the parties to ensure that it was constructive and focused on the desired outcomes.
Step 7 – Manage: We implemented certain dispute management strategies to keep the parties focused and on track that moved them along a pathway that took them from totally polarised antagonistic positions to more objective perspectives that opened the door to exploring a range of options to achieve a sensible commercial outcome they could both live with.
Step 8 – Resolution: We helped the parties work out their own deal that made commercial sense to each of them.
If you would like additional information about how to resolve commercial disputes, then click here to download a free dispute resolution report now.