Would you like to resolve your dispute in one day?
The Hellenic Financial Mediation Centre (HFMC) can help
We support Mediation under Law 4640/2019
HFMC provides specialised, high-level support services in Mediation procedures under Law 4640/2019 helping to resolve financial disputes relating to banking, investments, insurance, debt settlement, the registration and cancellation of mortgage lien, the correction of land registry entries, leasing and factoring contacts, commercial disputes, etc.).
This is the second area of operation of the Hellenic Financial Ombudsman and aims to promote the use of Mediation under Law 4640/2019 in the financial sector so that parties can resolve their disputes directly, reaching sustainable agreements at a lower cost than court proceedings.
Please note that the above application does not constitute a request for recourse to the Mediation procedure or the Mandatory Initial Session (M.I.S.) for Mediation under Law 4640/2019.
Specialisation & Organization
HFMC provides its services in accordance with the principles of Mediation under Law 4640/2019.
We are not involved in resolving the dispute, for which the Mediator chosen by the parties is solely responsible.
Choice of Mediator
You have the option of choosing an experienced, specialised, accredited Mediator from the 'List of Trained Financial Mediators' held by HFMC.
Rooms & Equipment
Specially designed rooms with modern equipment for the proper conduct of mediation under Law 4640/2019. Rooms can be used for joint, private (caucus) or preparatory meetings, either in person or remotely, and there are break rooms for coffee breaks and light meals.
Secretarial support
Scheduling meetings, confirming the availability of the Mediator, ensuring the proper organisation of the mediation process etc.
Financial Mediation under Law 4640/2019
Mediation is an internationally recognised process in which parties to a private dispute voluntarily seek an out-of-court settlement based on the principles of legality, confidentiality and private autonomy.
In Greece, Mediation is governed by Law 4640/2019 and provides an alternative route to justice alongside court proceedings.
With the help of a suitably trained Mediator — an independent, neutral and impartial third party — the parties to the dispute can, with the assistance of their legal representative, achieve a mutually beneficial and sustainable solution.
Saving time and money
The Mediation process is quick, usually taking just one day, and cheaper than court proceedings. This allows the parties to resolve their dispute and get back to business.
Voluntary choice of a sustainable solution
In Mediation, the parties come together voluntarily and in good faith to resolve their dispute. If they reach an agreement with the help of the Mediator, it will satisfy the interests of both parties and be sustainable.
Binding and enforceable agreement
The agreement resulting from the Mediation process is recorded in the 'Mediation Record' and is legally binding. Furthermore, once filed with the registry of the competent Court, it:
a) constitutes an enforceable title for the compulsory collection of the claim;
b) renders the filing of a lawsuit for the same dispute inadmissible to the extent that its subject matter is covered by the agreement of the parties and any pending proceedings are discontinued; and
c) constitutes a title for the registration or cancellation of a mortgage. If no agreement is reached, the parties may bring the matter before the competent courts at any time.
Confidentiality, Impartiality and Effectiveness
The Mediation process provides a neutral, confidential and impartial environment in which the parties can negotiate and communicate. The parties voluntarily enter into a negotiation process on equal terms. The Mediator, who is mutually accepted by the parties, plays a catalytic role in helping them reach an agreement while acting with neutrality, impartiality and confidentiality. They do not disclose information confidentially disclosed to them by either party to the dispute, nor do they disclose to third parties any information obtained during or in connection with the Mediation, including the fact that it is about to take place or has taken place. The Mediator is a professional with the qualifications specified in Law 4640/2019. This means that they have received special training and are accredited and registered with the Ministry of Justice. They are also subject to the supervisory and disciplinary control of the Ministry of Justice's Central Mediation Committee. The 'List of Trained Financial Mediators' held by HFMC includes Mediators with significant experience and expertise in the field.
Maintaining the transactional relationship between the parties
Mediation is a civilised option. Unlike court proceedings, Mediation restores mutual trust and helps the parties involved in financial and commercial disputes maintain their transactional relationship.
According to Law 4640/2019, disputes heard in regular proceedings with a subject matter exceeding €30,000 are subject to a M.I.S. for Mediation.
During the M.I.S., the parties, in the presence of their lawyers, are informed by the Mediator about the procedure and principles of Mediation, as well as the possibility of settling their dispute out of court based on its specific characteristics. The parties are free to either agree to resolve their dispute through Mediation or disagree. If they disagree, a report must be signed and filed with the relevant court, as this is a prerequisite for the lawsuit to be admissible.
Provision of HFMC Support Services in:
- Mediation under Law 4640/2019: € 90
- Mandatory Initial Mediation Session (MIM)
- in person: € 10
- remotely: € 5
- Consensual registration and elimination of a Mortgage Note
- in person: € 10
- remotely: € 5
NOTE: VAT at 24% is added to the above amounts. These amounts are paid by each party to HFMC after a mutually acceptable Mediator has been selected, and are refunded if the Mediation is cancelled.
The Mediator's fee is agreed directly between the parties and the Mediator, without the involvement of HFMC.
| Institution | HFO | HFMC |
|---|---|---|
| Procedure | Ombudsman | Mediation under Law 4640/2019 |
| Institutional framework | J.D.M. 70330/2015 | Law 4640/2019 |
| Cost of services | Free | Based on the Pricing of Mediation Support Services. In addition to the Mediator’s fee |
| Type of procedure | Written | Mainly oral |
| The Financial Ombudsman | The Financial Intermediary | The accredited Mediator selected by the parties |
| Representation by a lawyer | Without a lawyer | Representation by a lawyer is mandatory |
| Type of disputes | Disputes arising from the provision of banking, investment and other financial services | All private commercialdisputes (e.g. debt settlements, registration and cancellation of mortgage liens, etc.) |
| Transacting parties | Individuals and businesses (with an annual turnover of up to €3,000,000) | Any natural or legal person |
| Providers | Only financial service providers participating in the HFO procedure | Any natural or legal person |
| Duration | Up to 90 days | 1 day |
| Outcome | Amicable settlement. A non-binding recommendation may be issued | Binding agreement, which, once filed with the registry of the competent Court, constitutes an enforceable title |
