Mediation in Croatia is of no interest to anyone?

Mediation in Croatia unfortunately is not recognized as an alternative method of dispute resolution, although it brings numerous advantages for the economy, reduces litigation costs for entrepreneurs, saves time and other resources, and eliminates the uncertainty of dispute outcomes, it was highlighted at today’s seminar on the economic benefits of mediation.

About thirty mediators, judicial officials, and businesspeople are discussing mediation at a two-day seminar organized by the American Chamber of Commerce in Croatia (AmCham) and the Croatian Association for Mediation in collaboration with the U.S. Embassy in Zagreb.

-Mediation is one of the most effective alternative forms of dispute resolution in the U.S. and the EU, yet it is not sufficiently recognized in Croatia, even though it brings significant benefits to the judiciary and the economy- said AmCham President Ivan Vidaković.

-The development of mediation in our country will contribute to reducing pressure on the judiciary and increasing legal certainty, which is necessary for attracting foreign investments- he added.

U.S. Ambassador Kenneth Merten warned that the speed and efficiency of dispute resolution is one of the fundamental questions that business people ask themselves when deciding in which country to invest their money.

With the assessment that the whole world is in an economic crisis and that investments are necessary for growth and development, Merten recalled the recent visit of U.S. Secretary of State Hillary Clinton to Zagreb, who stated that Washington wants to work together with Zagreb to strengthen the economic and trade ties between the two countries, but also warned of the unfavorable investment climate in Croatia.

Assistant Minister of Justice Vanja Bilić stated that the government’s Commission for Alternative Dispute Resolution has achieved excellent results since its establishment in June, but did not provide details on the number and outcomes of mediations.

Stating that the outcome of mediation is a secret that remains between the two parties, he highlighted the example of mediation between the government and a Danish investor who resolved a 20-year dispute in this manner two days ago.

Mediation is a confidential and voluntary settlement process in which a neutral third party, the mediator, works to achieve a solution acceptable to all parties. This process is cheaper than litigation, resolves faster than a lawsuit, and allows the parties to reach a mutually acceptable solution, enabling them to continue their business relationship.