Mediation resolves a lockout, even after court proceedings initiated.

Diana*, a commercial tenant could not keep up with rent and outgoings after two years in the premises. The landlord locked her out in July, and in August sued inthe Local Court for $64,000, plus ongoing costs until the loss was fully realised.

In November, before the case got to court, the parties agreed to participate in mediation. The landlord accepted $40,000 from Diana as a full and final settlement, with a deposit upfront followed by smaller payments over three years.

In addition, chattels of value (mostly commercial-grade appliances) became the property of the landlord, to sell

or offer to a future tenant. The only exception was a rare collection that held sentimental value for Diana. She agreed to re-enter the premises and fully make good by December, and a consent order was entered to finalise the Local Court proceedings.

With deals like this being done months after the lockout, it is clear the dispute could have been resolved even earlier had the parties pursued mediation as a firstoption.

An early referral to mediation is always a good idea, but just because court proceedings have been initiated doesn’t mean it’s too late.

* All names have been changed.