+ Why are the flat fee packages time-limited?
We have found that our clients enjoy the certainty of a flat fee (rather than the unknown of the billable hour). In order to make the flat fee process financially viable for our small business, we have to create an end-point to the usage of our services.
In addition, we have found that having a time-limited process 1) helps clients focus on the issues (which may be uncomfortable and tempting to delay), 2) encourages clients to focus on their most important needs and wishes; and 3) discourages clients from getting bogged down in small issues (which could otherwise result in endless argument).
Our Flat Fee Packages are designed to help clients move on with life.
+ Would it be cheaper to hire a lawyer at their hourly rate?
In most cases, no, it wouldn't.
If you are price shopping, it is important to note that a lawyer practicing in the traditional law firm model will usually quote a "starting from" rate that is an estimate based on their hourly rate. This quote is for the first draft before it has been sent to your spouse or their lawyer.
A lawyer (who is not a mediator) can only work for one of you, not both of you, so the lawyer will draft the agreement to favour the lawyer's client. This is because lawyers have stringent professional responsibilities to protect their client and not doing so fully could be considered negligent.
The draft agreement will then be sent to the other spouse who will need to hire their own lawyer to review the terms. As it was drafted for the other person's benefit, this is where the adversarial back-and-forth gets started, the hourly billing ramps up, and the "starting from" fee often becomes a drop in the bucket of the total cost.
Through our process, we meet with both spouses together which means that we can iron out any misunderstandings together as we go and fully discuss all of the issues that you wish to be addressed in the agreement. There won't be any surprise terms added to protect just one person. As a result of working with a neutral family law mediator, our clients are far less likely to get caught up in ongoing negotiation struggles.
Lastly, the flat fee provides many people with peace of mind because they do not have to worry about how high the fees might get. There is no need to add the stress of hourly billing to an already stressful time.
+ Why do some mediators offer a Memorandum of Understanding instead of a Separation Agreement?
Only a mediator who is also a lawyer can draft a Separation Agreement because it is a legally-binding contract (and non-lawyers are obviously not allowed to practice law).
Mediators who are not also lawyers are limited to preparing a Memorandum of Understanding after mediation because it is not a legally-binding document. It is simply a summary of the terms that were tentatively agreed upon in mediation.
When you leave mediation with a Memorandum of Understanding, you will have the extra step and expense of taking the Memorandum of Understanding to a lawyer to have a Separation Agreement prepared if you would like the document to be legally-binding -- which is the entire purpose of having an agreement in writing for most people!
Some mediators who are lawyers offer a Memorandum of Understanding as part of their initial mediation fee and then charge extra fees for preparing a legally-binding Separation Agreement.
We know that you need a legally-binding document to do the things that you are trying to do, for example, divide your pension, get approved for financing to complete your house buyout, have peace of mind that support will be paid, etc., so we build in the preparation of the Separation Agreement into all of our packages.