Mediation — International Enforcement — A Viable Alternative To Arbitration?

The United Nations Convention on International Settlement Agreements Resulting from Mediation (the Singapore Convention on Mediation) ("Convention") was adopted on 20 December 2018, and Malaysia became a signatory in 2019. This Convention seeks to recognise and enforce settlement agreements arising from a mediation, internationally, similar to arbitral awards.

Presently, when a dispute is successfully mediated resulting in a settlement agreement, that agreement may be enforced by suing on the same, as one does with any breach of contract. Parties, however, are generally not inclined to arbitrate/litigate again having resolved their disputes amicably through mediation. This is particularly so when the counter party and its assets are in a foreign state.