Local Rule 9019-2: Mediated Settlement Conference

Local Rule 9019-2 Mediated Settlement Conference

(a) Time for Proceeding. The court permits the use of mediated settlement conferences for the efficient and orderly resolution of adversary proceedings and contested matters. The court may, by written order, require parties and their representatives to attend a pre-trial mediated settlement conference in any adversary proceeding or contested matter pending in the bankruptcy court.

(b) Rules Governing Mediation. Mediated settlement conferences shall be governed by the Rules for Mediated Settlement Conferences and Other Settlement Procedures in Superior Court Civil Actions ("Mediation Rules") promulgated by the North Carolina Supreme Court pursuant to North Carolina General Statute § 7A-38.1 and by the supplemental rules set forth herein.

Wherever the Mediation Rules refer to "Senior Resident Superior Court Judge" and "Administrative Office of the Court," they shall mean "Bankruptcy Judge" and "Clerk of Court" of this court, respectively.

(c) Supplemental Rules for Mediated Settlement Conferences. In addition to the Mediation Rules, the following rules shall also apply to mediated settlement conferences:

(1) No record. Mediated settlement conferences shall not be recorded;

(2) Attendance. All mediated settlement conferences shall be conducted in person, unless leave is otherwise granted by the mediator with the consent of the parties;

(3) Mediator's Report of Outcome. The mediator's report required by the Mediation Rules shall be issued within 7 days of the conclusion of the Mediated Settlement Conference. The mediator may submit the report on Local Form 17 ("Report of Mediator") or by using the mediator's own letterhead or individually-developed mediation report form. Such report may be filed by the mediator electronically or by conventional means unless otherwise directed by the court; and

(4) Payment of Mediator's Fee. A trustee or debtor-in-possession shall have authority to pay any required portion of the mediator's fee without further order of the court, as long as the estate's portion of the fee is less than $5,000.

(d) Exceptions to Rules. The court may, either on its own or on motion of any party, permit exceptions or deviations from this local rule.

(e) Judicial Settlement Conference. The court may, at any time, order the parties to participate in a settlement conference to be convened by the court. Any party may also request a judicial settlement conference.

(1) Mandatory Attendance by Representatives with Full Authority to Effect Settlement. A person with full authority to settle all pending claims must be present at the settlement conference and, for purposes of this rule, the "person with full authority to settle" shall not be the attorney. Such rule is not applicable to government attorneys and federal agency parties. Government attorneys are required to bring as much binding authority to settle as is feasible under the circumstances.

(2) Presiding Judge. Any bankruptcy judge of this district, other than the judge to whom the case is assigned for disposition, may preside over a judicial settlement conference convened by the court.

(f) Impact on Federal Law. Nothing in this local rule shall be deemed to override any provision of federal law, including the United States Bankruptcy Code or the Federal Rules of Bankruptcy Procedure.