Introduction and Service Overview
Mediation, as an alternative, peaceful, and fast mechanism for resolving disputes, is becoming increasingly popular in Georgia. Against the backdrop of the lengthy duration and high costs of court litigation, businesses and individuals prefer to conclude a dispute with the help of a mediator through consensus and sign a mediation settlement. However, a legitimate question often arises: what happens if one of the parties fails to fulfill the agreement reached within the mediation framework? To solve this problem, a powerful legal instrument exists—the enforcement of a mediation settlement. This service involves granting a settlement signed during the mediation process (both at the domestic and international levels) legal, coercive force through the court, so that the National Bureau of Enforcement or a private execution officer can enforce it just like an ordinary court decision.
The service of enforcing a mediation settlement is vital for the credibility of the mediation institution. Without it, mediation would remain merely an expression of good will. The service includes filing a special application with the court, verifying the legality of the settlement, and obtaining a writ of execution. The procedure differs depending on whether the mediation was conducted within the court (court mediation) or outside the court (private mediation), as well as whether the agreement was concluded in Georgia or abroad (international mediation).
What the Mediation Enforcement Service Covers
The service begins with a legal audit of the breached mediation agreement. The lawyer checks whether the settlement meets the formal requirements of the law and how clearly the obligations to be fulfilled are specified. If the case involves private (out-of-court) mediation, the lawyer prepares an application and appeals to the court of jurisdiction, requesting that the mediation settlement be subject to enforcement. The court does not review the dispute from the beginning; it only checks whether the settlement contradicts public order and whether it violates the rights of third parties. Upon approval, the court issues a writ of execution.
Special attention is given to the enforcement of agreements reached through international mediation. Georgia is a signatory to the UN Convention on International Settlement Agreements Resulting from Mediation (the so-called Singapore Convention). This means that a commercial dispute resolved by mediation abroad (for example, in Singapore or Germany) can be enforced directly in Georgia without traditional litigation. The service covers translating the foreign agreement into Georgian, its legalization, its recognition in court, and its submission to the National Bureau of Enforcement.
Common Situations and Practical Examples
In practice, the domestic mediation enforcement service is frequently used during family and labor disputes. For example, former spouses divided property and agreed on the amount of alimony with the help of a mediator. The agreement was formalized through out-of-court mediation. A few months later, one of the parties stopped fulfilling the obligation. The lawyer of the other party applies to the court, obtains a writ of execution, and, through an execution officer, seizes the debtor's bank account. This process is much faster than starting a lawsuit from scratch.
At the international level, commercial disputes are common. For example, a Georgian distribution company and a Turkish supplier resolved a dispute with the involvement of a mediator in Istanbul. They signed an international mediation settlement according to which the Georgian company must pay a debt. When the Georgian company fails to pay, the Turkish party (relying on the Singapore Convention) hires a lawyer in Georgia who directly applies to the Georgian court to enforce the settlement. The court confirms the act, and the Turkish company forcibly receives its money.
The Georgian Legal Framework
In Georgia, this field is regulated by the Law of Georgia on Mediation and the Civil Procedure Code. The legislation strictly distinguishes between court mediation and private mediation. A settlement reached during court mediation is directly approved by the judge who referred the case to the mediator, and a writ of execution is issued immediately. In private mediation, however, the party must file a special application with the court requesting enforcement.
Regarding the international framework, in 2020 Georgia ratified the Singapore Convention, which brought a revolutionary change to the resolution of business disputes. The Convention obliges Georgian courts to recognize and enforce foreign commercial mediation agreements exactly like foreign arbitral awards, except in rare cases where the agreement clearly violates Georgian public policy or the mediator breached ethical norms. This legislation creates a predictable and secure environment for investors.
Step-by-Step Process
The process begins when a party breaches the terms of the mediation agreement. The first step is the preparation of documentation by a lawyer (if the agreement is foreign, it is translated and legalized/apostilled). In the second stage, a motion is prepared addressed to the court requesting that the mediation settlement be subjected to enforcement, and it is filed with the respective court of jurisdiction.
In the third stage, the court formally checks the agreement. It does not investigate the factual circumstances of the dispute. In the fourth stage, if there are no statutory grounds for refusal, the court issues a ruling subjecting the settlement to enforcement and issues a writ of execution. In the fifth and final stage, the creditor presents the writ of execution to the National Bureau of Enforcement, after which the state's coercive enforcement mechanisms are activated—seizing the debtor's accounts and realizing property.
Why legal.ge and the Need for a Lawyer
Although mediation is by nature an informal and flexible process, enforcing it is a highly complex legal procedure. National courts are very careful about granting coercive force to private agreements. If your application is not properly reasoned, or if a foreign agreement fails to meet the criteria of the Singapore Convention, the court may refuse to issue a writ of execution. By this, you will lose the advantage gained through mediation.
The legal.ge platform is the best space in Georgia where you can find the finest specialists in Alternative Dispute Resolution (ADR) and enforcement law. The lawyers gathered in our directory will help you not only to formally draft the mediation process correctly but also to enforce it quickly and seamlessly, both domestically and internationally. Choose a trusted professional on legal.ge and ensure that your mediation settlement is genuinely executed.
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