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IIROC Mediation Program: FAQ

As modified in February 2017
Below are some common questions regarding IIROC’s Enforcement Mediation Program
1. What is mediation?

Mediation is a process that can lead to a settlement and therefore a resolution of an IIROC disciplinary matter. It can also assist with the resolution of a discrete issue arising in a disciplinary matter. During a mediation session, IIROC Enforcement Staff and a Respondent both present their positions to a mutually selected independent official.  This official is called a Mediator, and the Mediator’s role is to evaluate the parties’ positions and to assist them in reaching a settlement or resolution of an issue where appropriate.  



2. Why should you consider mediation?

Mediation can assist the parties to reach a settlement at an earlier stage of the disciplinary process, which will result in cost savings. Mediation also allows the parties to explore all aspects of a case in a confidential environment. 



3. Does mediation replace the normal hearing process?

No. If mediation is not successful then a disciplinary matter will proceed to a hearing before an IIROC Hearing Panel in the normal course. 



4. When is mediation available?

Mediation is available at any time following the issuance of a Notice of Hearing. However, the mediation must be initiated at a sufficiently early point in the process so as not to cause undue delay. Mediation is only available once during the disciplinary process.



5. Is mediation mandatory?

Mediation is not mandatory and can only be initiated by agreement between both IIROC Enforcement Staff and the Respondent.



6. Who is eligible for mediation?

Mediation is potentially available to any Respondent who is subject to an IIROC disciplinary proceeding pursuant to IIROC Rules 20.33 and 20.34 or Consolidated Rule 8200. Respondents subject to an expedited hearing pursuant to IIROC Rule 20.41, a temporary order proceeding pursuant to Section 8211 or a protective order proceeding pursuant to Section 8212 are not eligible to participate.



7. How does mediation work for IIROC Enforcement cases?

While the parties have some flexibility in structuring the mediation process, the following are the minimum mandatory features of the program:
  • selection of Mediator: The parties must agree on the choice of mediator. There is no pre-approved roster of mediators, but consideration will be given to knowledge and experience in the securities regulatory industry, general mediation experience, and the absence of any apparent conflict of interest with the parties. 

  • written agreement: The parties enter into a standard mediation agreement which sets out various terms of the process including the confidentiality of the mediation and the means of terminating the mediation. 

  • documents: Each party must prepare written materials for the mediator and the other party in advance of the mediation. The content and timing of the exchange of written materials will be determined by the parties and the Mediator.

  • mediation result: A mediated settlement agreement will have no force and effect until it is approved by an IIROC Hearing Panel.



8. How much does mediation cost?

Most Mediators charge an hourly rate for their services and there may also be expenses associated with the choice of venue for the mediation.  These costs must be shared equally by the parties.  Mediation costs will therefore depend on the Mediator and venue selected and the amount of time required to complete the mediation process.



Charles Corlett
Director, Enforcement Litigation
[email protected]
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