UNIVERSITY OF STIRLING International Standards for Commercial Mediators Christopher To A thesis submitted in partial fulfilment of the requirements for the Degree of Doctor of Philosophy August 2015 1 ABSTRACT This paper talks about the international standards for commercial mediators. It introduces the standards of eight different jurisdictions and afterwards, evaluates whether there should be one accrediting standard for all international commercial mediators. In the introduction chapter, the paper talks about the problems with the current legal system and then explains the growth of mediation in today’s society. By discussing the nature and practice of mediation, whether mediation should be compulsory or voluntary in light of Article 6 of the European Convention on Human Rights, rationale of the various jurisdictions covered, the paper then talks about the attributes that make a good mediator as well as the accreditation and training of mediators. From chapter two to chapter nine, the paper focuses on eight jurisdictions in which mediation is firmly enshrined within one legal culture to those that are just embarking on the concept (namely Australia, New Zealand, Indonesia, Malaysia, India, Hong Kong, California and Canada). Each chapter talks about the developments of commercial mediation, law and institutions as well as training and accreditation of mediators within their respective jurisdictions. 2 In the concluding chapter, it discusses whether there should be one accrediting standard for international commercial mediators by exploring the advantages and disadvantages of having one accrediting standard as well as the author’s analysis and point of view on the subject. 3 ACKNOWLEDGEMENT I am grateful to the University of Stirling for assisting me with this thesis. The administration staff of the University have been more than helpful to me and have assisted me throughout my path of learning, for this I thank them. I respectively thank and express my utmost gratitude to my Supervisors Professor Davidson and Professor Clark for giving me their kind supervision and various constructive comments as well as advice throughout this study. Without their helpful guidance and support, I would not have been able to accomplish this research. I would also like to take this opportunity to thank Ms. Carmen Liu, Mr. Penny Lau, Ms. Kate Ng, Ms. Grendy Lam, Mr. Angus Ng, Mr. Kelvin Lee and Ms. Mona Chang for their support in helping me finalise the paper from editing to proof reading for this I thank them. Finally I would like to express my appreciation to all Alternative Dispute Resolution (ADR) practitioners who I have consulted, the list over the years grew to an extent that it is not possible for me to include everyone’s name in this acknowledgement, nevertheless their support and valuable guidance is greatly appreciated. 4 TABLE OF CONTENTS ABSTRACT ....................................................................................................... 2 ACKNOWLEDGEMENT ....................................................................................... 4 TABLE OF CONTENTS ......................................................................................... 5 LIST OF FIGURES AND DIAGRAMS ............................................................... 10 LIST OF TABLES ................................................................................................. 11 LIST OF ABBREVIATIONS ................................................................................ 12 CHAPTER 1. MEDIATION IN TODAY’S SOCIETY ..................................... 15 1.1. INTRODUCTION ....................................................................... 15 1.2. PROBLEMS WITH THE CURRENT LEGAL SYSTEM .......... 23 1.3. NATURE AND PRACTICE OF MEDIATION ......................... 28 1.4. THE ROLE OF A MEDIATOR .................................................. 57 1.5. CHOOSING A MEDIATOR ....................................................... 63 1.6. TRAINING TO BECOME A MEDIATOR ................................ 65 1.7. ACCREDITATION OF MEDIATORS ....................................... 72 1.8. THE RATIONALE AND JUSTIFICATION OF THE VARIOUS JURISDICTIONS COVERED .................................................... 91 CHAPTER 2. AUSTRALIA ............................................................................... 93 2.1. DEVELOPMENT OF MEDIATION IN AUSTRALIA ............. 93 2.2. ACCREDITATION ................................................................... 121 2.3. MEDIATION TRAINING ........................................................ 154 2.4. MEDIATION ETHICS AND RESPONSIBILITY ................... 175 2.5. THE WAY FORWARD ............................................................ 198 CHAPTER 3. NEW ZEALAND ...................................................................... 204 3.1. INTRODUCTION: DISPUTE RESOLUTIONS INSIDE AND OUTSIDE THE COURTROOM IN NEW ZEALAND ............ 204 5 3.2. AN OVERVIEW OF THE LEGAL FRAMEWORK AND APPLICATION OF MEDIATION IN NEW ZEALAND ........ 206 3.3. TRAINING OF MEDIATORS .................................................. 210 3.4. ACCREDITATION OF MEDIATORS ..................................... 212 3.5. CODE OF ETHICS FOR MEDIATORS .................................. 215 3.6. PROFESSIONAL NEGLIGENCE WITHIN MEDIATION .... 217 3.7. THE NEED FOR A UNIFIED MEDIATION LAW ................. 220 3.8. CONCLUSION .......................................................................... 223 CHAPTER 4. INDONESIA .............................................................................. 225 4.1. INTRODUCTION ..................................................................... 225 4.2. MEDIATION IN INDONESIA ................................................. 226 4.3. A REVIEW OF LITERATURE ON MEDIATOR TRAINING ................................................................................................... 229 4.4. HISTORY AND DEVELOPMENT OF MEDIATOR CREDENTIALING ................................................................... 237 4.5. MEDIATION TRAINING IN INDONESIA ............................ 242 4.6. MEDIATOR CREDENTIALING IN INDONESIA ................. 245 4.7. CHALLENGES OF MEDIATION TRAINING ....................... 247 4.8. CONCLUSION .......................................................................... 250 CHAPTER 5. MALAYSIA .............................................................................. 251 5.1. ATTITUDES TOWARDS MEDIATION ................................. 251 5.2. PRACTICE DIRECTION NO.5 OF 2010 ON MEDIATION .. 253 5.3. MEDIATION ACT 2012 ........................................................... 257 5.4. ACCREDITATION OF MEDIATORS ..................................... 259 5.5. MEDIATION TRAINING ........................................................ 265 5.6. CODE OF CONDUCT IN MEDIATION ................................. 267 5.7. DISCUSSION ............................................................................ 268 6 5.8. CONCLUSION .......................................................................... 271 CHAPTER 6. INDIA ........................................................................................ 272 6.1. INTRODUCTION ..................................................................... 272 6.2. TRACING THE ORIGINS OF MEDIATION IN INDIA ........ 275 6.3. LEGAL FRAMEWORKS SUPPORTING ALTERNATIVE DISPUTE RESOLUTION ......................................................... 277 6.4. THE RISE OF MEDIATION IN INDIA ................................... 280 6.5. TRAINING OF INDIAN MEDIATORS .................................. 282 6.6. INDIAN INSTITUTE OF ARBITRATION AND MEDIATION ................................................................................................... 283 6.7. IIAM CERTIFICATION & ACCREDITATION SYSTEM ..... 287 6.8. PROCEDURES IN PLACE PROVIDING FOR CONSISTENT QAP EVALUATIONS ............................................................. 292 6.9. GUIDELINES PROVIDED TO ASSESSORS FOR QAP EVALUATIONS ....................................................................... 294 6.10. IIAM’S MEDIATORS’ CODE OF PROFESSIONAL CONDUCT ................................................................................ 295 6.11. CONTINUING PROFESSIONAL DEVELOPMENT ............. 298 6.12. MEDIATION TRAINING MANUAL OF INDIA ................... 299 6.13. CONCLUDING REMARKS ..................................................... 302 CHAPTER 7. HONG KONG ........................................................................... 303 7.1. DEVELOPMENT OF MEDIATION IN HONG KONG .......... 303 7.2. INTRODUCTION TO PRACTICE DIRECTION 31 ............... 305 7.3. HONG KONG MEDIATION ACCREDITATION ASSOCIATION LIMITED ...................................................... 306 7.4. HONG KONG INTERNATIONAL ARBITRATION CENTRE ................................................................................................... 310 7.5. MEDIATOR’S ACCREDITATION ......................................... 311 7.6. CONTINUING PROFESSIONAL DEVELOPMENT ............. 312 7 7.7. MEDIATOR’S CODE ............................................................... 313 7.8. MEDIATOR’S RESPONSIBILITIES ....................................... 315 7.9. MEDIATION SETTLEMENT .................................................. 318 7.10. VOLUNTARINESS IN MEDIATION ..................................... 319 7.11. CONFIDENTIALITY ............................................................... 320 7.12. FAIRNESS AND ACCOUNTABILITY ................................... 323 7.13. CONCLUSION .........................................................................