Answer to Question 1
The statute of limitations is the period of time between the event that gives rise to a legal
claim and the date when a court or administrative agency can no longer hear the claim and
provide a remedy. The purpose of the statute of limitations is to promote timely resolution
of disputes while evidence is still available, and witnesses can still remember what took place.
Typically, mediation suspends the running of the statute. This means that in those cases
where no lawsuit has been filed, the period devoted to mediation will not count against the
statutory period. Although these laws are not uniform from state to state, typically the
statutory period is suspended when one party requests mediation or conciliation and the other
party agrees.
Answer to Question 2
State laws typically require that the mediator be neutral and have had nothing to do with the
case either before or at the conclusion of mediation. A mediator cannot be forced to testify
in court about anything that has transpired in the case or the mediation. Even when a
mediator chooses to testify, a party can prevent a mediator from giving testimony. In
addition, offers to settle a claim (or refusal to accept an offer) during mediation are not
admissible by either party as evidence of anything. The purpose of confidentiality statutes is
to promote the free and unencumbered use of negotiation and ADR to settle disputes prior to
a trial on the merits.
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