INTHEBLACK November 2021 - Magazine - Page 64
F E AT U R E
// D I S P U T E S I N B U S I N E S S
Failing to get a partnership agreement in place
because of potential legal fees is a “false economy”,
according to Hibberd.
“People may baulk at paying A$10,000 for a
partnership agreement, but if things go bad, you might
spend hundreds of thousands of dollars on a dispute.
That agreement is your insurance policy.”
“THERE ARE ALL SORTS
OF IDIOSYNCRASIES WITH
NEGOTIATIONS AND DISPUTES.
BUT, ULTIMATELY, IT ALL BOILS
DOWN TO TWO PARTIES WANTING
TO MOVE FORWARD, EITHER BY
WAY OF RESOLUTION OF AN
EXISTING CONFLICT, OR
THE AVOIDANCE OF A
POSSIBLE CONFLICT.”
CALL IN A MEDIATOR
Vouris agrees that it is best practice to have a partnership
agreement in place covering the funding, structure,
management and direction of the business, while also
outlining the responsibilities and obligations of the
business owners.
Regardless, when a dispute arises, the opposing parties
should quickly engage a third-party mediator who is
emotionally removed from the issue.
Navaratnam believes it is important for partners
to realise that they do not have to reach a decisive
agreement to progress a dispute – agreeing to disagree
may be acceptable.
“As someone once said to me, there’s your point of
view, there’s my point of view, and then there’s the
correct point of view. If everybody agreed on everything,
there would be no legal courts of justice.
“There are all sorts of idiosyncrasies with negotiations
and disputes,” he says. “But, ultimately, it all boils down
to two parties wanting to move forward, either by way
of resolution of an existing conflict, or the avoidance of
a possible conflict.
“Essentially the same principles apply – it’s just a
matter of how you get there.”
For leaders and managers, this means being more
sensitive to others’ needs, engaging in better and more
inclusive conversations, and showing more emotional
intelligence.
If bad behaviour is unaddressed, the business will
“pay a long-term price”, she says.
Disputes are ultimately about people’s lives, and
an emotional release is often required to reach resolution,
Segal says. Managing your own and others’ expectations
will go a long way to preventing minor disagreements
becoming major disputes.
MOVE WITH THE TIMES
Workplace mediation expert Saranne Segal, managing
partner with Segal Conflict Solutions, believes workplace
interactions have taken a turn for the worse during the
COVID-19 pandemic, with bullying tactics such as
deliberate exclusion made easier by the move online.
“There’s a lot of nastiness going on, and that is leading
to workplace conflicts,” Segal says.
KNOW WHEN TO WALK AWAY
In The Art of War, legendary ancient Chinese general
Sun Tzu outlines many strategies on how to beat
opponents on the battlefield. One, however, stands out as
the most salient: “The wise warrior avoids the battle.”
Amid the ongoing economic fallout from COVID-19,
the potential for business partner disputes is higher than
ever, and so are the stakes.
64 ITB November 2021
RAVI NAVARATNAM FCPA, MINCONSULT