Our Experience
The Mediation
Success Story
Turning Disputes into Opportunities
In 2023, our firm, SGA Law Africa, embarked on a journey to resolve a complex dispute between our client and a defendant who owed over R20 million. This story showcases the power of mediation in transforming disputes into lucrative business opportunities.
The Challenge
- The defendant lacked the financial capacity to pay the debt from the project's operations.
- Litigation would have resulted in a 3-year wait for a court hearing.
The Mediation Breakthrough
- The defendant proposed a settlement by offering our client a stake in a related business venture.
- Initially hesitant, we encourage our client to consider the proposal.
- A thorough due diligence, assisted by technical consultants, confirmed the viability of the new venture.
The Outcome
- The litigious matter was settled amicably.
- The R20 million debt was settled through profits generated from the new venture.
- Our client's revenue and profits in the new venture were 20 times the expected revenue and profit from the original debt.
Key Takeaway
"If businesspeople approach disputes with an open mind, they can turn disputes into new opportunities." - Sizwe Gcayi, Founder CMA
Conclusion
This success story highlights the effectiveness of mediation in resolving complex disputes. By embracing an open-minded approach, businesses can transform disputes into lucrative opportunities, achieving outcomes that exceed expectations.