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1. Short Title
This directive may be cited as the "Court-Annexed Arbitration Directive No. 12/2013."
2. Definitions
unless the context requires otherwise, the following terms shall have the meanings ascribed to
them in this directive:
1. This directive applies to federal court cases involving public interest matters that have not
been heard through direct litigation in the judicial process. However, any party involved
in the dispute may request that the matter be resolved through a mediation process. Such
a request can be submitted to the court, regardless of the stage of the litigation process.
2. This directive is enforceable within the jurisdiction of the judicial mediation framework
and applies to mediators, mediation officers, mediators, and other staff members involved
in mediation activities.
Principles of Mediation
1. Any mediation process shall be conducted only if the parties voluntarily agree to
participate.
2. The mediator must ensure that, before initiating the process, the parties confirm in
writing that their participation is voluntary.
3. The mediator facilitates communication and agreement between the parties by following
proper mediation procedures and applying mediation skills.
4. Before starting the mediation, the mediator must clarify to the parties that the authority to
make decisions lies solely with them, and that the mediator has no authority to impose a
decision.
5. The mediator shall not impose their own decisions or influence the parties to accept any
decisions against their will.
6. The mediator must refrain from making promises about specific outcomes or
guaranteeing particular results.
7. While guiding the mediation process, the mediator may provide professional advice and
suggest ideas that can enhance the success of the negotiation process.
5. Impartiality
1. The mediator shall conduct the mediation process impartially, free from any influence or
favoritism toward either party.
2. The mediator must avoid any actions or behaviors that could compromise their
impartiality.
3. Before starting the mediation, the mediator must confirm that they have no financial
interests, relationships, conflicts, or biases that might affect their impartiality. If any
conflict of interest exists, the mediator must refrain from handling the case.
4. Even if the parties agree to proceed despite a known conflict of interest, the mediator
must withdraw from the process.
6. Equality
1. The mediator is obligated to treat both parties equally before and during the mediation
process.
2. The mediator must avoid showing favoritism or giving preferential treatment to one party
over the other.
7. Confidentiality
8. Professional Competence
1. A mediator must possess sufficient mediation skills and capabilities as expected by the
parties. If any mediator lacks competence, they must withdraw from the mediation
process.
2. Mediators are responsible for continuously enhancing their professional skills through
training and education.
9. Diligence
1. The mediator must personally handle all mediation tasks and may not delegate them to
others.
2. Mediation tasks must be performed with integrity, confidence, and diligence.
3. The mediator shall ensure that the mediation process encourages cooperation and respect
between the parties.
10. Guidelines for Maintaining the Quality of the Arbitration Process
1. Prior to initiating the arbitration process or at its commencement, both parties are
required to make reasonable efforts to ensure they understand the procedures governing
the arbitration process.
2. The arbitrator must possess the professional skills and necessary qualifications required
to conduct the arbitration process while maintaining its quality.
3. The arbitration process must be completed within 30 days from the date the case is
referred to the arbitrator. However, for valid reasons, this period may be extended by no
more than 20 days.
Chapter Three
1. Participation in mediation proceedings conducted by the court shall involve the party
concerned directly.
2. The party may participate in the mediation process jointly with their legal representative.
However, the representative’s role in the mediation process is limited and may only speak
on the party’s behalf if permitted by the mediator during the finalization of the mediation.
3. Notwithstanding sub-article 1 of this article, the legal representative of the party may
complete the mediation process if the party is unavailable, provided the party has granted
explicit authorization to do so.
1. If the case involves a fee-based proceeding, the required fee shall be paid before initiating
mediation proceedings. Once the case is registered, the court shall evaluate the case and
order the defendant to submit a response, after which the matter will be scheduled for
mediation.
2. Parties notified to appear in mediation must fulfill the required prerequisites before
attending mediation sessions at the mediation center.
3. After assigning the case to the mediation center, the mediator’s office shall provide the
parties with a list of available mediators for selection. If the parties fail to choose a
mediator, the mediator will be appointed by the court or the mediation center’s
coordinator.
4. If the mediation center determines that the case can be resolved through mediation, it
shall proceed without referring the matter back to the judge. However, if the case is found
unsuitable for mediation, it will be returned to the judge for further orders or rulings.
5. In cases where the mediation process is already underway or deemed unsuitable, the
matter will be referred back to the court for litigation or other appropriate legal action.
1. On the appointed day for mediation, after all concerned parties have arrived, the mediator
carries out the following steps in sequence. However, this does not preclude the mediator
from applying other mediation skills and principles as necessary:
a) Once the disputing parties and the mediator's secretary have taken their seats, the mediator
introduces themselves and briefly explains the purpose of the session.
b) After outlining the purpose, the mediator allows each party sufficient time to present their
views and takes note of the key points raised. Equal time must be provided for all parties to
speak.
c) The mediator must ensure that all parties have ample opportunity to express their opinions
calmly and respectfully.
d) If the parties fail to reach an agreement during the discussion, the mediator may consult with
each party separately.
e) After the discussion, if no agreement is reached, the mediator will document unresolved legal
or factual matters.
f) The mediator strives to facilitate an agreement by following proper procedures.
g) The mediator provides the parties or their legal representatives with the opportunity to review,
adjust, and verify the draft agreement in accordance with Section 20 of these guidelines.
h) If an agreement is reached, a draft agreement is prepared, signed by both parties, and reported
to the court by the mediator. The agreement is then certified by the court under Article 45(3) of
Proclamation No. 1234/2013.
i) If no agreement is reached, the mediator submits a report to the court, which will then review
the matter.
2. Once certified by the court, the agreement will be enforced as any court decision through
execution proceedings.
3. If the certified agreement affects the rights or interests of third parties, it may be
challenged before the court under Proclamation No. 358. Alternatively, a new case may
be initiated based on the circumstances.
4. To implement the provisions of Sub-Article 1 of this section, a mediation procedure will
be issued by the Mediation Committee.
A mediator cannot terminate the mediation process except under the following circumstances:
1. If the mediator verifies that the mediation process is being used to commit a criminal act
or fraud.
2. If one or both parties create hostility or disrupt the mediation process, demonstrating a
complete lack of willingness to resolve the matter amicably.
3. If the mediator or a party involved becomes physically or mentally unable to continue the
process due to illness or another serious temporary condition.
4. If one or both parties formally request the mediator in writing to terminate the process. In
such cases, a new mediator must be appointed within three working days to continue the
mediation process.
The mediation process cannot be postponed from the scheduled date unless the following
conditions are met:
1. Both parties mutually agree to postpone it.
2. The mediator determines that the daily behavior of the disputing parties or the mediator
may obstruct the mediation process.
3. One or both parties are unable to proceed due to severe and unavoidable circumstances
beyond their control.
1. If neither party appears at the first mediation appointment, or if only one party attends,
the mediator will document the absence in a written report and forward the case, along
with the records, to the presiding court.
2. If the plaintiff appears but the defendant fails to attend, and the mediator verifies that the
summons was properly delivered, the absence is documented and reported to the court
with the records. If the defendant’s absence resulted from not receiving the summons, a
new appointment may be scheduled to continue the mediation process.
3. If one or both parties fail to appear, resulting in the termination of the mediation process,
the case will proceed under Article 45(5) of Federal Court Proclamation No. 1234/2013.
In such instances, the absent party may be required to pay 1000 Birr as compensation
before the court proceeds with the hearing. However, this does not apply to certain
public-interest litigation cases specified by law.
1. Mediation proceedings are conducted within designated mediation centers located inside
federal court premises.
2. However, if necessary, the Mediation Committee may designate an alternative location
outside the court premises for conducting the mediation.
1. Introduction – Date, names, addresses of the parties, title indicating the type of dispute,
and related issues.
2. Summary of the Dispute – A brief explanation of the issue.
3. Agreed Terms – Items and resolutions agreed upon by the parties.
4. Execution Details – Matters related to enforcement based on the agreement.
These agreements must adhere to the rules and procedures specified under the Civil
Procedure Code concerning judicial decisions and enforcement processes.
Chapter Four
1. Federal High and First Instance Courts shall have Court Mediation Centers under their
respective civil divisions.
2. Mediation Centers established under the respective court divisions shall include a
Mediation Service Officer and a Mediation Secretary.
24. Mediation Service Officer
Chapter Five
On Mediators
26. Mediators
The following individuals are referred to as mediators within the court-annexed mediation
process:
1. Those appointed as mediators within the court, fulfilling the criteria for mediation job
positions.
2. Mediators working in other roles within the court who have received mediation training.
3. Mediators listed in the roster prepared by the Federal Supreme Court as specified in
Article 27 of this directive.
4. Parties may also propose their own mediator outside the court-appointed mediators or the
roster. However, the administrator must verify that such a mediator meets the
requirements specified in Articles 26-28 of this directive before starting the mediation
process.
5. The court ensures that individuals appointed as mediators receive adequate training
before undertaking mediation responsibilities.
1. Any individual meeting the following prerequisites may be listed in the mediators' roster,
as outlined in Article 48 of Federal Court Proclamation No. 1234/2013:
a) Holds at least a first degree in law.
b) Has a minimum of five years of relevant work experience.
c) Demonstrates good moral character.
d) Has completed an 80-hour mediation training program provided by a recognized
institution and submitted certification of completion.
2. Professionals outside the legal field, such as engineers, psychologists, agricultural
experts, and medical professionals, with more than ten years of work experience in their
respective fields, may also be included in the roster, provided they meet the requirements
listed under Sub-Article 1 (a-d).
1. When a case is referred for mediation, the mediator is required to inform the parties
involved of the following key points based on the Court Directive No. 12/2014 for a Free
and Fair Judiciary and Rule of Law:
a) The mediator's role is limited to facilitating agreement and does not include the
authority to impose decisions based on laws or evidence. The mediator ensures impartial
treatment of both parties.
b) The process will be conducted in a manner that maintains fairness and transparency for
both parties.
1. Any mediator registered on the mediation roster is required to provide free mediation
services for at least two cases per year.
2. Free mediation services apply to the following cases:
a) Cases filed under the indigent (poor) rule.
b) Cases exempt from court fees.
c) Cases involving public interest claims of less than 500,000 Birr.
1. Mediators are entitled to receive fees for costs incurred during the mediation process
from the disputing parties. The court administrator facilitates the payment arrangements.
2. Unless the mediator has voluntarily agreed to work without fees or is assigned as a court
employee for mediation purposes, the mediator may request fees for the services
rendered.
3. In the absence of an agreement between the mediator and the disputing parties, the
mediator is entitled to reasonable compensation based on the mediation fee scale set by
the Supreme Court.
1. Any roster member who meets the requirements listed in Section 27 of this directive shall
pay a registration fee of 300 Birr and an annual fee of 750 Birr to register on the roster.
2. The registration and annual fee mentioned in Sub-section 1 of this section shall be used to
ensure the integrity of the court-annexed mediation process.
33. Obligation to Support the Mediation System
1. Any mediator is required to actively contribute to the promotion and support of the
mediation system.
2. A mediator has the responsibility to raise awareness among disputing parties and their
representatives about the peaceful and constructive nature of mediation and other
alternative dispute resolution mechanisms.
1. A mediator must properly record and maintain agreements reached between the disputing
parties and prepare the agreement document in an appropriate manner.
2. The mediator must ensure that the prepared agreement is read, understood, and signed by
the disputing parties.
1. During the mediation process, a mediator shall not provide legal advice or take sides,
either directly or indirectly, on the matter submitted for mediation.
2. A mediator shall not solicit or receive money from the parties, nor give money to the
parties before conducting the mediation process. However, this does not include financial
institutions like banks.
1. A mediator shall not make decisions in any mediation process. The parties have the right
to determine the terms of the agreement freely.
2. A mediator shall not, directly or indirectly, coerce, pressure, or influence the parties to
agree, partially or fully, to any proposal.
Chapter Six
Mediation Accreditation Committee
1. Based on Article 45(7) of Federal Courts Proclamation No. 1234/2013, the Federal
Supreme Court shall establish a Mediation Accreditation Committee, hereinafter referred
to as the "Committee."
2. The Committee shall consist of 9 members.
3. Committee members shall receive allowances during meetings, as determined by the
Supreme Court.
Chapter Seven
1. Breaching confidentiality.
2. Misleading or manipulating parties involved.
3. Showing bias or favoritism toward one party.
4. Lacking the required skills for mediation.
5. Accepting bribes or engaging in corruption, either by taking or offering favors.
6. Imposing unauthorized charges related to mediation fees without parties' consent.
7. Mediating while having a conflict of interest with one party.
8. Coercing, intimidating, or forcing parties into agreements.
9. Engaging in hostile, discriminatory, or offensive behavior during mediation.
10. Conducting mediation under external influence, including pressure from third parties.
11. Having inappropriate personal relationships with parties before, during, or after
mediation.
12. Engaging in actions deemed serious ethical violations by other disciplinary committees.
44. Disciplinary Actions (Penalties)
Mediators found guilty of violations listed in this guideline may face the following disciplinary
actions:
1. Minor Violations –
o First-time offenses result in verbal warnings.
o Repeated offenses result in written warnings.
2. Repeated or Major Violations –
o A fine of up to 10,000 Birr.
3. Severe Cases –
o Removal of the mediator’s license.
o Permanent disqualification from conducting mediation.
4. Notification to Associations –
o If the mediator is a lawyer, the case details and penalties shall be communicated
in writing to the Bar Association or Ethics Committee.
Chapter Eight
Payment of Arbitrators
1. An arbitrator shall not be paid a fee for arbitration if they are a court-appointed arbitrator.
2. The fee for the services provided by the arbitrator shall be determined based on an
agreement between the arbitrator and the disputing parties.
3. If no agreement is made between the arbitrator and the disputing parties regarding the
fee, payment shall be made based on the standard arbitration fee schedule annexed to this
directive, divided equally between the disputing parties.
4. The arbitration fee determined under Sub-Article 2 of this Article shall take into account
the financial status of the disputing parties, the complexity or simplicity of the case, and
the estimated duration for resolving the matter.
5. If the case is settled through agreement, the administrative fee paid by the disputing party
shall be deducted, and the remaining amount shall be refunded. However, if the arbitrator
is court-appointed, the court shall determine the amount to be deducted. Any difference
between the arbitration fee and the administrative fee shall be paid by the disputing party.
6. If the case ends without an agreement, no arbitration fee shall be paid. Nevertheless, if
the arbitrator spent a significant amount of time on the arbitration process, the court may
order payment based on government fee-sharing regulations.
1. The arbitration fee applies to professional services and time allocation provided by an
arbitrator registered in the roster prepared by the Supreme Court for resolving disputes
through negotiation.
2. Expenses required for arbitration services shall not be included in the arbitration fee.
3. If the negotiation process is terminated for any reason, the arbitrator shall not be entitled
to a fee. However, if significant time has been spent by the arbitrator and the process was
terminated for reasons other than the arbitrator’s fault, the court may order payment
based on government fee-sharing regulations.
4. If the negotiation process is terminated due to the arbitrator's incompetence or
misconduct, no fee shall be paid to the arbitrator.
1. Unless otherwise agreed, arbitration fees shall be equally shared by the disputing parties.
2. If the arbitration service is provided by more than one arbitrator, the payment shall be
divided among them as per the fee schedule annexed to this directive.
Chapter Nine
Final Provisions
50. Certification Requirements
1. Before any arbitrator’s name is included in the arbitrators' roster or before undertaking
arbitration duties, the arbitrator must certify, in writing, that they will perform their duties
diligently, comply with arbitration rules, and maintain confidentiality.
2. The personal information of the arbitrator described in sub-article 1 of this article shall be
included in a secured file.