020 3600 5050

Insolvency Practitioners can be Mediators

by Lawrence King


In this article, Lawrence King, one of our Panel Mediators, explains the particular importance of mediation and alternative dispute resolution in insolvency and why he took the course to become an ADR Group Accredited Civil and Commercial Mediator in October 2018.


Firstly, what is mediation?

“The ADR Group summarise mediation as ‘an effective method of resolving disputes between two or more parties.’ The Mediator, a neutral independent qualified professional, assists all the sides in negotiating a mutually agreeable settlement.

Participation in mediation is voluntary and the process is private and confidential and it brings structure that ordinary negotiation lacks. The decision to settle and the terms of an agreement rest solely with the parties themselves, not the mediator.”


Secondly, what is insolvency mediation?

“Insolvency Mediation is where various parties to a dispute (for example creditors and company directors or a liquidator and a director) work to negotiate an arrangement regarding an insolvent company that all parties can agree to. This will avoid the need for lengthy and possibly costly litigation, which could end up in Court. The mediator is a third party who works as the intermediary between the two parties to facilitate the agreement to be made.

Insolvency disputes can easily, and often do, escalate into litigation, and I have found mediation to be a great tool to resolve such disputes quickly and efficiently.”


Why did I become a Mediator?

“As a Licensed Insolvency Practitioner, I have seen many times, at first hand, the risks and costs associated with insolvency litigation when a dispute between directors and creditors escalates. Insolvency, with all the stresses and strains that it can bring, often leads to disputes in many areas, including, but not limited to:

  • Wrongful trading claims
  • Claims against directors
  • Misfeasance claims
  • Claims made between business partners
  • Transactions at an undervalue
  • Bankruptcy claims by a Trustee
  • Disputes between companies and their insolvency practitioner or liquidator

I have been party to many mediations as an Insolvency Practitioner, bringing the above actions against directors and other parties, and have seen the effectiveness of using mediation as a means of avoiding litigation.

I took the mediation course initially as a training exercise in October 2018. I found I enjoyed the work, had an aptitude for mediation, and I was delighted to pass the course first time. From that point on, whenever a dispute is likely, I always seek to deploy my mediation skills. I firmly support the principle of Alternative Dispute Resolution as an effective and efficient means of keeping a dispute out of court.”


You don’t need to be a solicitor to be a mediator

“The commonly held belief is that mediators need to be solicitors, barristers or retired legal professionals. Many are, of course, but you don’t need to be. Inevitably, in Insolvency Disputes, you need to have a good knowledge of Insolvency Law, which of course all Licensed Insolvency Practitioners do as part of their professional qualification. Add to that the accountancy training of most IPs, and it is easy to see why an IP can bring a different perspective to dispute resolution. In particular, the ability to condense complex legal and financial matters quickly is key.

At the heart of dispute resolution, of course, is problem solving and being able to communicate effectively. Mediation requires a pragmatic and commercial mindset to be able to act as a neutral intermediary between two parties who are locked in disagreement. In my experience, a good mediator also needs good listening skills and it is certainly not a case of deciding who is right and who is wrong. There is no taking of sides, and the focus is always on reaching an agreement that both parties can live with.


To view Lawrence’s profile, click here.


Complete our Enquiry Form or Call on 020 3600 5050

I consent to adrgroup.co.uk collecting and storing my data from this form

Privacy Policy (Data Processor)

What Others Say

Mediation Services

"After 25 years of good old fashioned litigation I would describe myself as a mediation sceptic, that is, until I experienced Toby Walker and the team at ADR Group who showed me and my clients how it's really done and why it can be relied upon to produce results"

Mediation Services 

"ADR Group is a well-run and efficient service provider.  They listen to your mediation requirements with care and make sure they pair you with a mediator suited to your needs.  Everything is done in a very timely manner.  My first point of call, always" 

Mediation Services 

"ADR Group make organising mediations easy"

Mediation Training 

"I had already trained with a lesser known mediation company, though I wish I hadn't. Once I started to train with ADR Group, I realised how much i'd missed out on and how much I had to gain by training correctly. The trainers at ADR Group were the most helpful, friendly, informative and supportive trainers I could have ever wished for. The training was fun, informative and interesting and I am forever grateful to ADR Group for helping me along the way."

Joanna Nutley

Mediator Training

"I was extremely impressed by both the content and the delivery of the course particularly given the need to deliver it remotely. I have heard colleagues talk about mediation training that they have undertaken recently with other providers and this course would certainly appear to be more comprehensive than those."


Mediation Services

"I must say I was very impressed with the service received from the ADR Group and I will certainly be using you again in the future. Right from the start I was highly impressed with Sam; his responsiveness and communication was excellent."  Legal Counsel  

Our Mediators

Select a specialism

Latest News

Angus Crawford and Garry Ferguson

We are extremely pleased to welcome Angus Crawford and Garry Ferguson to our Panel of mediators.  Mark Belford says "Angus and Garry have a wealth of mediation experience and add further strength to our mediator panel. They are both available for appointments throughout the UK, but having a presence in Scotland is an exciting step forward for ADR Group."

13 Feb 2023

Would you like to join our panel of Mediators click here
for more information

© Copyright ADR Group 2022