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Using a Mediator in a Bankruptcy Case – Wall Street News

Posted on May 19, 2022 by admin

to reach a settlement through the process. In bankruptcy situations there is a possibility that the debtor asks for clarifications to help them comprehend the bankruptcy laws. Although mediation involves reality testing and risk analysis, the main focus is about negotiation and finding inventive strategies.

A mediator is a key part in helping parties get away from their private life and review bankruptcy documents and remove communication barriers. He may also provide alternative settlement alternatives for parties, as well as helping them find an agreement that is amicable. He isn’t able to take any action or enforce settlements. The mediator can, however, assist negotiators decide whether or not to seek bankruptcy. Where a mediator is involved and the final decision has to be satisfactory to all the participants. Often, during mediation it is the case that both parties are satisfied by having an active part in determining the eventual outcome.

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