01/09/2026
Myth: Commercial litigation always results in a trial.
Fact: Other modes of resolution are usually encouraged, and often required, first.
If you're involved in a commercial dispute, you should always consider mediation or arbitration before going to court. Both offer a cost-effective and time-efficient alternative to traditional litigation, and mediation is an increasingly popular method to resolve disputes.
In all Australian jurisdictions, courts have the power to refer parties to mediation regardless of whether both parties consent. Delay or failure to mediate, or failure to mediate in good faith, may result in an adverse costs order.
Even when mediation doesn't produce an immediate resolution, there is a strong settlement rate for matters referred to mediation, and it's common for a settlement to be reached after mediation concludes and before the matter proceeds to trial.