Mediation benefits both landlords and tenants. It avoids the time and expense of attending a hearing, and quite often the landlord and tenant work out an arrangement that remedies the reason for termination of tenancy. More often than not, the mediated agreement results in the tenant remaining in occupancy. The participation by both landlord and tenant gives them a stronger sense of ownership of the solution. They then try to make it work. Statistics in the dispute resolution literature, also point out that the compliance rate for mediated agreements is significantly higher than for matters that proceed to court. Also, an added advantage to mediation is that the agreements are not subject to appeal under the Residential Tenancies Act. If one party does not live up to the terms of the agreement, an Order can be issued that is enforceable immediately.
In 1998 the Branch compared the cost of a hearing with the cost of mediating an Order of Possession. Total cost and total time were considered. Mediation proved to be less costly and faster than a hearing in both categories. In a recent article written by Dan Lieberman, in the PPMA newsletter, I noticed that keeping a resident is more profitable in the long run. The article says in part "Keeping your residents long-term is the key to maximizing your cash flow. Yet many property managers (or owners, if there is no manager) are encouraging unneeded vacancies to occur by default." Mediation, as a tool to overcome disputes, can assist in keeping long-term residents.
There are cases when termination of the tenancy is the only real choice. However we are finding that due to the success of mediating Orders of possession, many landlords are actively exercising the mediation option.
Here are some excerpts from letters we have received.
One landlord recently stated, "First, I would like to inform you that I have been impressed with the large number of claims that your staff has successfully mediated in the past six months. I have been able to close most files through mediation over this time. Your staff saved my office much time and energy."
Another landlord wrote, "I would like you and your staff to know that our company appreciates the service that your department gives our industry. In particular, the mediation services concerning disputes between tenants and landlords. I find your staff to be very professional and fair in dealing with these issues."
The Residential Tenancy Branch appreciates the professional approach landlords take to assist in the successful mediation of difficult tenancy disputes. I encourage the industry to use mediation as a practical solution in dealing with landlord and tenant issues.