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New South Wales · Dispute Resolution

How to apply for mediation of a civil dispute in NSW

In short

In NSW, mediation of a civil dispute can occur through the courts (Supreme, District, and Local Courts can refer parties under the Civil Procedure Act 2005 (NSW)), through Community Justice Centres (CJCs) for community disputes, or privately through a mediator agreed by the parties. Mediation is confidential, without prejudice, and ends either with a signed settlement or a return to the dispute pathway.

Who: Parties to civil disputes in NSW — contract, property, neighbour, employment, family law, commercial, building, and estate disputes — who want a structured, without-prejudice pathway to settlement before or during litigation.
Where: Supreme, District, or Local Court for court-referred mediation; Community Justice Centres for community matters; NMAS-accredited private mediators for tailored commercial or succession mediations.
Time: Mediation can usually be arranged within 4-8 weeks. A mediation session typically takes half a day to two days. Urgent mediations can be arranged more quickly.
Fees: CJC mediation is free for eligible matters. Court-referred mediation fees depend on the court and mediator chosen (a court-appointed mediator may be paid by the parties). Private mediation typically costs $2,500-$10,000+ per day, split between the parties.
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Legal basis

The framework

Court-ordered mediation is authorised by Part 4 of the Civil Procedure Act 2005 (NSW) and Uniform Civil Procedure Rules 2005 (NSW) Part 20. Community Justice Centres operate under the Community Justice Centres Act 1983 (NSW). Confidentiality is reinforced by s 30 of the Civil Procedure Act.

10 steps

The process

1

Confirm mediation suits the dispute

Mediation works for disputes where the parties can settle — commercial, property, succession, employment, neighbour, and family-law matters. It is less suitable where urgent injunctive relief, declaratory orders, or a clear precedent is needed.

Parties
2

Choose the mediation pathway

Options: (a) court-referred mediation under the Civil Procedure Act; (b) Community Justice Centres for community disputes; (c) private mediation by an accredited mediator; (d) industry schemes (e.g. farm debt, retail tenancy).

Parties
3

Obtain the other side's agreement

Mediation generally requires agreement unless ordered by the court. Write to the other party proposing mediation, the proposed mediator, and the process, costs, and date.

Applicant / lawyer
4

Apply or agree to mediation

For court-referred mediation, file a notice of motion or consent orders referring the matter. For CJCs, apply online. For private mediation, agree on a mediator and sign a mediation agreement.

Parties / lawyers
5

Choose a mediator

Select a NMAS-accredited mediator with expertise in the subject matter (e.g. succession, construction, employment). Consider cost, availability, and style (facilitative vs evaluative).

Parties
6

Prepare a position statement and bundle

Prepare a concise position statement setting out the dispute, key documents, strengths and weaknesses, and settlement authority. Exchange or send confidentially to the mediator per the mediation agreement.

Lawyer
7

Attend the mediation with settlement authority

Each party must attend with sufficient authority to settle. Companies should send an authorised representative with clear instructions. Without authority, mediation stalls.

Parties
8

Participate in joint and private sessions

The mediator typically opens a joint session, then conducts private sessions (caucuses) exploring interests, options, and BATNA. Be prepared to adjust positions as new information emerges.

Parties
9

Document any settlement in writing

If a settlement is reached, sign terms of settlement or Heads of Agreement the same day — signed, dated, and legally binding. For court-referred mediation, file consent orders to close the proceedings.

Lawyers
10

If not settled, return to the dispute pathway

If the mediation does not resolve the dispute, the matter returns to the court or tribunal. What was said in mediation remains confidential and without prejudice under s 30 of the Civil Procedure Act 2005 (NSW).

Parties / court
Forms required

Forms and templates

Avoid these mistakes

Common mistakes

  • Attending without sufficient settlement authority
  • Not preparing a clear, focused position statement
  • Treating mediation as a discovery fishing exercise rather than a settlement process
  • Failing to document agreed terms the same day (memory and goodwill decay quickly)
  • Choosing a mediator without subject-matter expertise for technical disputes
Use with Quillio

Get this process right with Quillio

Quillio drafts mediation position statements, exchanges offers, prepares settlement deeds and Heads of Agreement, and extracts consent orders for court-referred mediation. See /practice-areas/dispute-resolution-lawyers or start a free trial at /free-trial.

General information only — not legal advice. Mediation confidentiality has limits, and a poorly documented settlement can reopen disputes. Obtain legal advice before attending, and before signing any settlement.

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