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ROLE OF THE OMBUDSMAN

From 1st September 2006, the Produce and Grocery Industry Ombudsman (PGIO) service is moving to a new panel system. The Ombudsman will now manage and oversee a panel of suitably qualified mediators who will deliver the mediation services. The PGIO service will continue to mediate disputes in accordance with the Produce and Grocery Industry Code of Conduct and the Ombudsman will continue to determine whether a dispute is covered by the Code and whether it is suitable for resolution by mediation.

The Ombudsman service will:

1.       Answer questions relating to the Produce and Grocery Industry Code of Conduct and its dispute resolution scheme; and

2.       Provide confidential advice to industry participants on the eligibility of disputes for mediation under the Code.

The Ombudsman service will respond to all queries and dispute notifications within five (5) working days of lodgement. Information on how to lodge a dispute is available from the Ombudsman service web site.

Mediation is a confidential process in which a neutral person (the 'mediator') helps the parties reach a negotiated agreement. Unlike a court of law, the mediator does not "hand down" a decision or impose a solution onto the parties. Under mediation, the mediator assists the parties understand the issues in dispute, identify creative options for resolving the dispute and finalise agreement (where possible). It is up to the parties to reach an agreement which is acceptable to both. Mediation is a recognised and accepted alternative to litigation which can result in a fast, cost effective solution to disputes.

Powers of the Produce and Grocery Industry Ombudsman Service

To accept, refuse or dismiss the referral of any dispute from an industry participant, excluding consumers, provided that:

  • the industry participants have a vertical relationship with one another;
  • the dispute relates to produce and product (see Clause 4 "Definitions" of the Code of Conduct); and
  • the dispute occurred on or after 13 September 2000 and is less than 12 months old.

The Ombudsman will encourage parties to directly resolve disputes in accordance with the respondent's internal dispute resolution procedures. Disputes will be accepted where:

  • the respondent has failed to respond to the matter in dispute within a reasonable period or within that period stipulated in the internal procedures;
  • the applicant and respondent are unable to resolve the matter under the internal procedures;
  • the applicant or respondent is dissatisfied with the outcome of the internal procedures; or
  • the applicant is dissatisfied with the respondent's internal processes or procedures in considering the matter or in reaching its decision.

The Ombudsman may accept a dispute (without parties having attempted direct resolution) where:

  • there are no internal procedures; or
  • the Ombudsman determines that the circumstances warrant direct referral.

Once a dispute is accepted, the Ombudsman will appoint an appropriate mediator to mediate the dispute. The mediator will then contact the parties and agree on a time, date and venue for the mediation conference.

The appointed mediator will assist the parties explore options for and, if possible, achieve the timely resolution of the dispute by agreement. The mediator will not:

  • be bound by any resolution that might be achieved by negotiation or a contested trial; or
  • impose a solution on any party.

If mediation does not result in an outcome acceptable to both parties or the dispute proves incapable of resolution by mediation, the mediator will issue a certificate to the applicant and the respondent setting out:

  • the parties to the dispute;
  • an outline of the dispute; and
  • a list of the unresolved issues.

Legal representatives may not appear before the mediator however the preclusion of a legal representative does not preclude the attendance of a support person but must include a person authorised to settle a dispute.

The mediator may, in his or her absolute discretion, summarily dispose of any application on the grounds that the dispute is:

  • frivolous;
  • vexatious;
  • repetitive;
  • lacking in substantive merit; or
  • a dispute which has been substantially previously dealt with.

* This description of the powers of the Ombudsman is a summary only. A full description is contained in the Produce and Grocery Industry Code of Conduct at Clause 10 "Dispute Resolution Procedure".

 

 

 

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