New rules for mediation take effect on January 1, 2012 that impact the way insurance companies participate in mediation. These rules, implemented by the Supreme Court of Florida, make two significant changes:
- Insurance companies must now have a representative at mediation that is the “final decision maker with respect to all issues presented by the case who has the legal capacity to execute a binding settlement agreement.” This stringent change to the rules of mediation eliminate any of the common excuses made by insurance representatives at mediation (ie, unable to sign; must confer with my superior).
- Insurance companies (as well as all other parties) must certify, 10 days prior to mediation, that the person appearing on their behalf for mediation meets the requirements set forth in paragraph 1 above. This change gives all parties an ample opportunity to raise concerns as to a “representative” prior to attending mediation. If there is no certification made, then sanctions may be entered against the party failing to comply with the certification requirement.
All of these changes lead to one thing – a more effective mediation. Ultimately, with our court system clogged, this change will hopefully result in further resolutions of needless litigation through mediation.
Author(s): Adrian J, Alvarez
