Legal Question in Mediation in New York

Mediation is designed to try and settle a dispute without the need to further litigate. If the parties agree to settle during mediation, the settlement is presented to the judge for his approval (this might not be necessary if the case is in small claims court) and the matter is resolved. However, if the parties do not settle, the case proceeds as if mediation had not taken place.

It sounds like the issue in dispute involved some money the other party says that you owe. If you do not settle during mediation - or afterwards - and the court determines you do owe the money, you will have to pay it. If the amount of money is large, you should consult with an attorney before the mediation to discuss your legal rights and obligations. The analysis and advice you receive will help you to make a more informed decision regarding whether to settle (either as a result of mediation or at some other point) or fight the matter further.