NEGOTIATION

For three days they took no phone calls, returned no messages, and answered none of the registered
letters that arrived every morning from creditors. They took stock of their situation. They could go forward and
begin the medical phase of trial, but the judge would probably dismiss three of the leukemia death cases
because of the date the jury had given. And the jury was clearly divided. On top of that, their financial position
was precarious in the extreme.
They opt to do negotiation with Grace. Schlichtmann and his partners worked on a settlement demand.
After much debate, they decided that the case was still worth twenty-five million dollars. Conway suggested that
the least amount they could settle for was ten million dollars.
Schlichtmann and Conway, Gordon and Phillips, the four negotiators, arrived early at the Lafayette Hotel
and waited for Eustis, negotiator of Grace. Eustis said that the numbers are high that he needed to discuss with
J. Peter Grace. They agreed to meet again the next Friday.
Schlichtmann cannot even afford to buy even one suit. The day of negotiation came,Grace offered six point
six million dollars. They were arguing whether to accept it or not considering the collateral, the Woburn families,
and their own families.They told Jan that they can no longer go in to the jury. They are destroyed- the Woburn
Case is already on its end. Schlichtmann still didn’t say anything. He shrugged and then turned and left.
Conway watched him go. He knew the case wasn’t over until Schlichtmann said it was. Conway wants to
support Jan until the end.
One day, Teresa was serving Schlichtmann dinner and everything he needed when Jan shouted and
asked for help.He was having anxiety attacks.Teresa gave him Valium.
On August 11, Schlichtmann meet with Keating. Schlichtmann suggested to Keating, he could put together
a settlement package that would guarantee peace in Woburn. However, Eustis was on a vacation.
Schlichtmann told the partners the plan and strategy agreed. Kiley liked the idea as long as they will be
given twelve million dollars. But Conway was unconvinced and did not think that Eustis really cares. He
believed that all Eustis cared about was the money.SChlichtmann then had another episode of anxiety attack in
the office.
Schlichtmann together with Gordon went to meet Eustis.Schlichtmann felt a spasm of anxiety. He and
Eustis had nothing in common, not in their pasts or their futures. They had lunch and agreed that Schlichtmann
will give the final demand.
They agreed later on the Eustis will call them but he never did.Philipps was pissed.Schlichtmann dialed
Eustis’s number. Phillips and Conway and Crowley sat across the desk from him, listening to his end of the
conversation.It turned out that Eustis got a memorandum from Keating that Jarrod Aufiero died of salmonella.
Roland Gamache drank bottled water since 1974.The settlement will not happen and will wait for what the judge
will say by Semptember 5th.They will proceed to the phase two of the trial.
The fact that they were in debt and still in financial crisis continue to hunt them.The source of Conway’s
anxiety was the September 5 hearing with Judge Skinner. Now that the settlement talks had failed, everything
depended on the judge. Conway had just finished reading Keating’s brief, in which Keating asked the judge to
declare a mistrial and order a new trial.Conway thought that Keating’s brief might well persuade Judge Skinner
to order a new trial. Schlichtmann thought this was unlikely.
September 5 came. Skinner said he needed some time to think about his ruling. He would notify the
lawyers of his decision early next week.Schlichtmann talked to the families snd informed them about Eustis’offer
and the status of the trial. The Woburn families began to talk freely among themselves about the prospects of
settling or going ahead with the trial. Seven of them thought that they will lose the case and would rather settle.
Schlichtmann went to the clerk and asked to inform Judge Skinner that they are talking about settling and
to delay the ruling first. Keating did the same thing too. Eustis told Jan they could settle only for 8million dollars.