Junggyeonryeon Supports Mid-sized Companies in Resolving Global Trade Dispute Challenges

March 18 Agreement on Support for International Commercial Dispute Mediation between International Mediation Center and International Commercial Arbitration

After signing the agreement, Lee Ho-jun, Executive Vice President of the Korea Federation of Medium-sized Enterprises (right), and Park No-hyung, Chairman of the International Arbitration Center, are taking a commemorative photo.

The Korea Federation of Medium-sized Enterprises (KFME) supports the efficient resolution of trade dispute difficulties for medium-sized enterprises through mediation between the parties involved. On the 19th, KFME announced that it signed a business agreement with the Korea International Mediation Center (KIMC) to support mediation agreements for international commercial disputes involving medium-sized enterprises.

The two organizations plan to cooperate in raising awareness of "mediation," which is gaining attention as an effective means of resolving international disputes between companies, and in discovering various educational programs to enhance the capabilities of medium-sized enterprises in responding to and resolving international disputes.

According to KFME, mediation is a dispute resolution method based on voluntary agreements between the parties. It can significantly reduce time and costs compared to litigation or arbitration. A KFME official explained, "Unlike arbitration or litigation, mediation did not have legal enforceability, but with the Singapore Mediation Convention, enforcement based on agreements between member countries has been secured, making it an increasingly effective means of dispute resolution."

The Korea International Mediation Center, established after the enforcement of the Singapore Mediation Convention in September 2020, is a nonprofit corporation registered with the Ministry of Trade, Industry and Energy. It has built a panel of mediation experts from various fields, including the legal sector, and is promoting various educational programs targeting companies to expand the use of mediation.

Lee Ho-jun, Executive Vice Chairman of KFME, said, "Considering the importance of partnerships between companies as the foundation for close global networks and sustainable growth, preserving existing amicable relationships is much more important than simply resolving disputes," adding, "We will expand programs so that mediation, an effective tactic that simultaneously achieves dispute resolution and mutual trust preservation, can be widely used to resolve trade disputes of medium-sized enterprises."

This content was produced with the assistance of AI translation services.