Mediation – this term refers to the most popular form of alternative dispute resolution (ADR), where it involves the appointment of a mediator who acts as a legal guide, advising and assisting the parties in communicating, essentially negotiating a settlement after mutual compromises. The mediator does not adjudicate the issues in dispute or to force a compromise; only the parties, of their own volition, can shift their position in order to achieve a settlement. The result of a successful mediation is called a “settlement.” Compare with “arbitration” and “reconciliation”, that are synonyms.
See for example: http://www.mediate.com/about