Italy has recently introduced new legislation requiring parties
to civil and commercial disputes to attempt to resolve their
differences through mediation before the matter can be heard before
a judge in a civil court of law.
This will have important consequences for the insurance
industry, as the mediation procedure is mandatory for disputes
arising from insurance contracts. The new law will enter into force
in March 2011.
Key points are:
Mediation will become mandatory for civil or commercial
disputes arising out of an insurance contract. The mediation
requirement will also apply to other types of disputes, for
example, medical malpractice.
The mediation process will be limited to a four-month period
and must be carried out by an independent and professional body,
set up and registered with the Italian Ministry of Justice for this
If the dispute is resolved by the mediation process, the
parties draft a settlement agreement. If the parties do not reach a
settlement, the mediator must draft a settlement proposal which the
parties are required to consider. If the parties agree to the
proposal, a settlement agreement is drafted accordingly.
In both cases, the agreement, as long as it is compliant with
Italian legislation, can be validated by the President of the Court
in which the mediation body is registered and will become fully
If the settlement proposal is not accepted, then either party
can commence proceedings. The party that brings the action,
however, will not be allowed to claim for their costs of bringing
the action and will be liable for the other party's costs in
the event that the court decision is the same (or similar) to the
It is anticipated that the introduction of compulsory mediation
will provide a commercially realistic alternative for insurers to
the traditional approach of litigating disputes in Italy, with
significant cost savings. It should also reduce the volume of
lengthy and protracted proceedings which are a common feature of
Italy's overburdened judicial system.
CMS Cameron McKenna and CMS Adonnino Ascoli & Cavasola
Scamoni are separate firms operating within the CMS Organisation
and are not responsible for each other's acts or omissions.
This article was written for Law-Now, CMS Cameron
McKenna's free online information service. To register for
Law-Now, please go to www.law-now.com/law-now/mondaq
Law-Now information is for general purposes and guidance
only. The information and opinions expressed in all Law-Now
articles are not necessarily comprehensive and do not purport to
give professional or legal advice. All Law-Now information relates
to circumstances prevailing at the date of its original publication
and may not have been updated to reflect subsequent
The original publication date for this article was
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
The implementation of Solvency II remains a focus for the Central Bank but it also highlights issues such as the post-Brexit landscape, cyber risk exposure and the continuing low interest rate environment.
The European Insurance and Occupational Pensions Authority published a consultation paper on Implementing Technical Standards on the standardisation of the presentation of the insurance Product Information Document.
Colombia is among the world's most dynamic insurance markets, attracting leading global companies to compete against strong local players.
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).