Mediation offers various advantages to resolve intellectual property disputes. Due to the nature
of IP, there is a stronger premium attached to preserving or enhancing the relationship between
parties. This makes mediation highly attractive thanks to its less confrontational and more
confidential nature.
Common examples of intellectual property contracts that give rise to disputes include:
- Patents
- Know hows
- Distribution contracts
- Trademark licenses
- Franchises
- Multimedia contracts
- Sports marketing agreements
- Computer contracts
- Technology-sensitive employment contracts
- Joint ventures
- Mergers and acquisitions involving important IP assets
- Research and development contracts
- Publishing, music and film contracts.
Given the nature of IP litigation often being costly, complex and drawn out, resolving IP disputes
through mediation is an easy way to settle issues between parties in an amicable and
professional manner.
What are the advantages of mediating IP disputes?
The most prominent advantage of mediation is in the disadvantages of all the alternatives. A
patent litigation case can cost $750,000 or more, and that is just on a national level not
accounting for further proceedings that may take place in other countries. Arbitration is typically
cheaper than litigation, however it is still a slow process than involves high levels of
confrontation and hostility. The length of these alternatives mean that there is lack of business
certainty which isn’t ideal for business planning and investments.
Given that most IP rights disputes are usually at a national level, there may be ongoing issues
at a multiple front. This gives rise to prohibitively high costs, to which mediation counters the
issue by offering a single forum for resolution without different rules, authorities and procedures
(including translation and language barriers).
Online mediation minimises the cost of litigation by as much as 98%. Immediation also has a
standard turnaround time of 30 days from the date that all parties agreed to use the online
mediation platform and signed up to the process with an expert mediator.
Further, in many IP disputes, it is highly unlikely for one side to be completely right while the
other is completely wrong. With that in mind, the nature of mediation allows for compromise
between parties given that it is a commercially sensible solution for all parties. It also ensures
that the discussion process is kept confidential which isn’t possible in litigation. The sensitivity of
IP information is one that organizations prefer to protect and keep private – which is a major
advantage of mediation.
Mediation allows for IP disputes to be resolved in imaginative and creative manners. The
licensing process of IP can be complex which involves broad and convoluted interests where
real world solutions can be more effective (and practical) than the restricted solutions offered in
litigation.
What makes mediation ideal for IP disputes
There are many legal cases that are complex, costly, and involve international implications. In
the case of IP disputes, they typically involve all three elements. Given the numerous benefits
mediation has to offer, parties facing an IP dispute should consider online mediation.
Immediation offers the best of what dispute resolution has to offer with the added advantage of
being online and easily accessible by all parties. Get in touch with the Immediation team to find
out how our online dispute resolution experts can help you with your IP dispute.
References
https://www.lexology.com/library/detail.aspx?g=c3e72978-d8a2-4780-b828-eecd53116a48
https://www.alrc.gov.au/publication/genes-and-ingenuity-gene-patenting-and-human-health-alrc-report-99/9-challenging-and-enforcing-patent-rights/enforcement-of-patent-rights/