(a) Parties may agree to use mediation as an option
to resolve a breach of contract claim at the time they enter into
the contract and include a contractual provision to do so. The parties
may mediate a breach of contract claim even absent a contractual provision
to do so if both parties agree.
(b) Any agreement to mediate must include consideration
of the following factors:
(1) The source of the mediator. Potential sources of
mediators include governmental officers or employees who are qualified
as mediators under Civil Practice and Remedies Code, §154.052,
private mediators, the State Office of Administrative Hearings (SOAH),
the Center for Public Policy Dispute Resolution at The University
of Texas School of Law, an alternative dispute resolution system created
under Civil Practice and Remedies Code, Chapter 152, or another state
or federal agency or through a pooling agreement with several state
agencies. Before naming a mediator source in a contract, the parties
must contact the mediator source to be sure that it is willing to
serve in that capacity. In selecting a mediator, the parties must
use the qualifications set forth in subsection §27.117 of this
title (relating to Qualifications and Immunity of the Mediator).
(2) The time period for the mediation. The parties
must allow enough time in which to make arrangements with the mediator
and attending parties to schedule the mediation, to attend and participate
in the mediation, and to complete any settlement approval procedures
necessary to achieve final settlement. While this time frame can vary
according to the needs and schedules of the mediator and parties,
it is important that the parties allow adequate time for the process.
(3) The location of the mediation, including whether
the mediation will be held in-person or through a digital medium.
(4) Allocation of costs of the mediator.
(5) The identification of each representative who will
attend the mediation on behalf of the parties, if possible, by name
or position within the commission or contracting entity.
(6) The settlement approval process in the event the
parties reach agreement at the mediation.
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