Is a prior amicable settlement clause mandatory before going to court?

The law does not usually require it, but once written into the contract it binds the parties. In several jurisdictions, a claim filed without first applying the clause can be declared inadmissible.

What is the difference between mediation and conciliation?

In both cases, a neutral third party helps the parties reach an agreement. The conciliator may propose a solution, whereas the mediator mainly facilitates dialogue; in practice, the terms are often used interchangeably in contracts.

How long should the amicable settlement phase last?

Between 30 and 90 days in total is a reasonable range for most commercial contracts. A shorter period is preferable when the amounts at stake are small or when a debt is overdue.

Clause templatesDisputes

Amicable settlement and mediation clause

This clause sets a mandatory step of negotiation, then mediation, before any litigation. It preserves the business relationship, reduces costs and often resolves disputes in a few weeks. To be effective, it must set clear deadlines so that it cannot be used to delay matters.

Create a free account

Clause template

1. In the event of a dispute arising out of or in connection with this contract, the most diligent party shall notify the other party in writing, setting out the subject of the dispute and its claims. 2. The parties shall meet, in person or remotely, within [15] days of that notice to seek an amicable solution in good faith. 3. If no agreement is reached within [30] days of the notice, either party may refer the dispute to mediation before [MEDIATOR OR MEDIATION CENTRE]. Mediation costs shall be shared equally unless otherwise agreed. 4. If the mediation has not resulted in a signed settlement within [60] days of the referral, either party may bring the dispute before the competent court or arbitral tribunal. 5. Exchanges during negotiation and mediation are confidential and may not be relied upon in subsequent proceedings. 6. This procedure does not prevent a party from seeking urgent interim measures.

Replace the bracketed items before use.

Variants

Simple negotiation, no mediation

Before any legal action, the parties shall attempt to settle their dispute amicably. The claiming party shall send a written notice describing the dispute. If no written agreement is signed within [30] days of receipt of that notice, each party regains its freedom to bring proceedings before the competent court.

When to use it

Long-term service, supply or maintenance contracts
Partnerships and joint ventures where the relationship must continue
Freelance or agency contracts where litigation costs would exceed the amount at stake
Cross-border contracts where litigation abroad is slow and costly

Mistakes to avoid

Writing a vague obligation to try to agree without deadlines, which invites delaying tactics
Forgetting the exception for urgent measures, which blocks protection of a party's rights
Failing to name a mediator or a mediation centre, leading to a new dispute over the appointment
Not keeping proof of the notice, which makes it hard to show the step was carried out

Country-specific notes

Morocco
The Casablanca International Mediation and Arbitration Centre (CIMAC) offers commercial mediation, and the CGEM employers' confederation has partnered with it to promote mediation and arbitration clauses among companies.
Source: CGEM, partnership with CIMAC

Contracts that use this clause

Frequently asked questions

The law does not usually require it, but once written into the contract it binds the parties. In several jurisdictions, a claim filed without first applying the clause can be declared inadmissible.

Other Disputes clauses

Sources

CGEM, partnership with CIMAC on mediation and arbitration clauses

Indicative template, to adapt to your situation. It does not replace legal advice.

Put your clauses into a complete contract

Generate the contract for your country, add your clauses and sign online, all in one place.

Create a free account Talk to an expert

Variants

Simple negotiation, no mediation

Mistakes to avoid

Writing a vague obligation to try to agree without deadlines, which invites delaying tactics

Forgetting the exception for urgent measures, which blocks protection of a party's rights

Failing to name a mediator or a mediation centre, leading to a new dispute over the appointment

Not keeping proof of the notice, which makes it hard to show the step was carried out