Legislation for the setting up of a Malta Mediation Centre started being debated in parliament yesterday.

Parliamentary Secretary Carmelo Mifsud Bonnici, who is piloting the bill, said it was well known that the prevailing mentality was one of confrontation, with a huge number of cases ending up before the courts.

Now the state was creating an officially recognised institution where parties could resolve their problems. This, he said, was not an easy step, and some had warned him that he could be creating a white elephant. The government, he said, would be promoting the use of this facility and he was confident that the process of mediation would eventually take root.

Dr Mifsud Bonnici underlined the benefits of mediation, pointing out that cases could be resolved more quickly than in the courts or the Arbitration Centre. Furthermore, in cases of mediation, both parties would know where they were going, unlike a court case which was decided irrespective of the desires of the parties involved. There would be no winners or losers, and the process would cost less than a court case.

Another advantage would be confidentiality, which was not granted in court proceedings, and the mediator was bound by secrecy.

Dr Mifsud Bonnici said domestic mediation was defined in the bill as any mediation of a civil, family, social, commercial and industrial nature. Although there were lawyers who were good at mediation, it wasn't necessary that a lawyer be appointed as a mediator. The parties could either agree on a mediator from the official list or else have one appointed for them by the centre according to the circumstances of the case.

Dr Mifsud Bonnici pointed out that mediation could be resorted to voluntarily, but in some instances, cases could also be referred by the courts, not least when disputes stemmed from pique. When cases referred to mediation by the court were not resolved, the court could raise expenses when cases were referred back to it. This was being done in order to avoid unnecessary rivalry which would result in long-winded court proceedings.

The mediation process would not mean loss of income to the members of the legal profession, Dr Mifsud Bonnici said. Indeed, having cases resolved more quickly would add credibility to the legal profession. The process would also save time for lawyers.

The Malta Mediation Centre would be a body corporate having a distinct legal personality. Its purpose will be to promote domestic and international mediation as a means of settling disputes. The centre will provide facilities for the conduct of mediation, set up the criteria for the appointment of mediators and draw up a list of mediators to assist in mediation. It would approve the nominated mediators and have the authority to remove mediators. The centre would also draw up a code of ethics for mediators and determine tariffs.

Dr Mifsud Bonnici said the setting up of the mediation centre would be looked upon favourably by potential investors, who often sought such facilities for a quick resolution of disputes.

Dr Mifsud Bonnici said the mediation centre would initially be housed in the same building of the Arbitration Centre, which was under-utilised. The two would be housed in separate offices once their activities increased.

The debate continues today.

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