Mediation of a bankruptcy dispute takes place outside the presence of the judge before whom the case is pending. There is usually no direct communication between the mediator and the presiding judge before, during or after the mediation.
When Is Mediation Appropriate Pursuant to Bankruptcy Code Section 327(a)?
With the utilization of mediation as a dispute resolution tool in bankruptcy cases becoming increasingly common, it is important that courts remain vigilant in protecting the integrity of the mediation process. As the Second Circuit once famously stated in another context, "[t]he conduct of bankruptcy proceedings not only should be right but must seem right."
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Paul A. RubinThis premium content is locked for The Bankruptcy Strategist subscribers only
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