Kulasegaran launches Perak Bar Mediation Centre, says disputes can be settled in a day

IPOH, July 10 — Long-running and backlogged civil cases pending before the courts can now be referred to mediation service without being withdrawn, allowing disputes to be resolved in as little as one day.

Deputy Minister in the Prime Minister’s Department (Law and Institutional Reform) M. Kulasegaran said mediation services provide faster and more cost-effective way to resolve disputes.

Kulasegaran suggested parties involved in pending civil suits do not have to withdraw their cases to pursue mediation, but instead apply to the court for the proceedings to be stayed temporarily and seek the judge’s permission to refer the dispute to mediation.

”I think the better approach is not to withdraw the case. Let the case remain in court and have it stayed. The parties can then seek the judge’s permission to refer the matter to mediation.

”We should not encourage parties to withdraw their cases entirely. If mediation is unsuccessful, they would have to file a fresh case, which would result in more time and higher costs,” he told reporters after launching the Perak Bar Mediation Centre (PBMC) in Medan Istana here.

Kulasegaran said the approach would allow disputing parties to attempt an amicable settlement while preserving their existing court proceedings if mediation fails.

He noted that civil litigation often stretches over many years because of the multiple stages involved in the judicial process, including appeals.

”In litigation, it is not just about winning at the High Court. There can be an appeal and even a further appeal. There are several stages, and I have personally handled cases that lasted 10 to 15 years.

”Mediation enables disputes to be resolved much earlier. It provides a win-win outcome for both parties, and that is why it should be given priority,” he said.

Kulasegaran added that mediation offers a less formal and less confrontational environment than court proceedings, making it easier for parties to negotiate and reach mutually acceptable solutions.

”It is less formal, and the atmosphere is much better than the hostile environment of a courtroom,” he said.

Asked whether pending civil cases across the country could be referred to mediation, Kulasegaran said the option is available and judges are generally supportive of such applications.

”Yes. All pending civil cases in courts throughout the country can be referred to mediation. Judges would be more than happy to allow it,” he said.

Mediation centres handle a wide range of civil disputes, including family matters, employment issues, contractual and commercial disputes, personal injury claims, property disputes, and medical negligence claims.

The centres promote mediation as a confidential and cost-effective alternative to litigation, offering quicker resolution of disputes while allowing parties to decide on mutually agreed settlements.

Agreements reached through mediation are also legally binding, providing certainty and finality for those involved.

At some mediation centres, such as the PBMC, the cost for the mediation service is between RM3,000 to RM5,000 which is about three times cheaper than the cost of litigation. 

On May 18, the government also officially launched the Madani Mediation Centre in Kuala Lumpur offering free assistance to the B40 and M40 groups.