In contract dispute mediation, the parties collaborate with a neutral third-party mediator to avoid litigation and resolve disagreements. The mediator aids in communication by assisting both parties in expressing concerns, dispelling misunderstandings, and evaluating potential solutions. Renegotiating terms, extending deadlines, or offering compensation are all ways to reach a mutually beneficial agreement. When compared to court proceedings, mediation is frequently quicker and more cost-effective, allowing both parties to retain control over the outcome. If successful, the mediator helps formalize the agreement in writing.