Professional Documents
Culture Documents
Unit Introduction
Alternative means of dispute settlement are efficient and cost effective. They save
time and avoid the cost involved in litigation. Moreover, such conflict resolution
schemes significantly reduce case load of courts thereby making it possible for the
judiciary to allocate adequate time and attention to cases that are brought to
courts.
Both parties can obtain a win-win solution during negotiation and settlement,
because the concessions on both sides would enable each party to gain some
benefit. This unit does not deal with the various forms of Alternative Dispute
Settlement Mechanisms because they belong to the course designed for this
particular purpose. It suffices to say that parties steadily lose control over their
case as they move towards litigation.
Parties in dispute have the settlement of their case in their own hands at the
stage of negotiation because they are free to mutually determine the elements of
the settlement. Negotiation is “a consensual bargaining process in which parties
attempt to reach agreement on a disputed or potentially disputed matter.”1
Negotiation “differs from other methods of dispute resolution in the degree of
autonomy experienced by the disputing parties who are attempting to agreement
without intervention of third parties such as judges, arbitrators and mediators.”2
In mediation, disputing parties “work with a neutral third party, the mediator,
to reach a mutually acceptable agreement.”3 The parties still have a considerable
3 Ibid, p. 56
The parties progressively lose their authority to determine the outcome of the
dispute as they move onto arbitration in which parties in private disputes have the
option to voluntarily submit their case to a neutral third party after which they
shall be bound by its decision. Unlike court litigation, the parties have the
authority to choose their arbitrator/s. Analogous to judicial decisions, however,
the disputing parties absolutely lose control over the outcome arbitral awards.
This unit focuses on negotiation and settlement, and the following readings and
exercises focus on lawyering skills that are required during the negotiation to
settle disputes before trial.
__________
4 Ibid
104 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
Section 1- Reading on Negotiation and Settlement
106 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
atmosphere. After that comes the information exchanging stage, in which the parties try
to learn the other side’s concerns, needs, and interests. After that comes the position-
taking stage, in which the parties stage their own positions and make their offers, justify
their positions with supporting facts, and challenge the other side’s positions with
contradictory facts. It is at this stage that the bartering process takes over, with mutual
concessions triggering further compromises until an agreement is reached. Remember
that most concessions are made either at the beginning (usually the small concessions) or
near the end (usually the major concessions) of the negotiations, as each party realizes
that the opponent is becoming resistant to further concessions and the alternative is to try
the case. Remember that during the bartering process it is particularly important to watch
the other side and listen closely for verbal and non-verbal clues that reveal the opponent’s
true position and attitude. Just as in playing poker, perception is important.
If an agreement is reached, it must be put in writing. It is important to review the
details of the agreement before the meeting comes to an end so that there are no
misunderstandings. Always volunteer to draft the actual settlement. If the other side
insists, be sure to review the agreement carefully and change any language that does not
accurately and fairly reflect the agreement.
Finally, if the parties were unable to reach an agreement at the settlement meeting, this
does not mean the negotiations failed. It may have paved the way for future discussions.
It may have provided the groundwork for mediation or arbitration. The last offers by each
side may be the basis for a high–low agreement if the case goes to trial. And it may have
given you some insight into how the other side intends to present its case if it proceeds to
trial.
…(T)he court can direct that a conference be held to facilitate a settlement. The court may
direct that parties, or representatives with settlement authority, attend the conference …
Settlement conference practices vary widely. Some judges actively promote settlement,
others are passive about settlement. ..
…
Finally, be patient. Experienced judges and litigators know that settlements often take
time. A settlement may not be reached during the first settlement conference. However,
the key concept is to get the parties talking about settlement. Once the ice is broken and
the parties are talking, most cases seek their own pace, and most eventually settle.
3. Client Authorization 7
Before you begin negotiations on behalf of a client, you must have authority to settle. The
law in almost all jurisdictions is that an agreement to represent a client does not confer
108 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
Section 2- Reading on Conflict Resolution Skills
Skills for Conducting a Conflict Resolution Process 8
(The purpose of the following reading is to) introduce skills that are essential to the
conflict resolution process: separating interest from position and negotiation.
Learning Objectives
• Differentiate between interest and position
• Describe the basic principles of negotiation
• Identify the principles of a win-win strategy
• Apply the information covered today to analyze a conflict.
Positions:
The responses or actions a person will take to meet his/her needs
• Position: I was very angry about the last meeting. I will not come again.
• Interest:
• Position: If you continue to be negative about everything, then I suggest you skip
these meetings.
• Interest:
• Position: These people did not fulfill their promises to attend the meeting;
therefore we cannot trust them again.
• Interest:
• Position: If you put me down one more time, I'll have to ask that one of us be
taken off this assignment.
• Interest:
• Position:
• Interest:
• Position:
• Interest:
Negotiation
Negotiation is a process in which conflicting parties share ideas, information, and options,
seeking a mutually acceptable outcome.
Principles of Negotiation
Negotiation is a process in which two or more parties share ideas, information, and
options, seeking a mutually acceptable outcome. Negotiation in itself is a conflict
110 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
resolution process; however, it is also an essential part of other conflict resolution
processes, such as mediation (assisted negotiation) and problem solving.
• Invent a list of actions you might conceivably take if agreement is not reached.
• Improve some of the promising ideas and convert them into practical options.
• Select, tentatively, the one option that seems best for you.
Analyze your bargaining power carefully. Bargaining power traditionally is defined as:
"the ability and power to hurt the other side or the power of superior resources."
112 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
Principles of a Win-Win Strategy
• Participants are problem solvers.
• The goal is a wise outcome reached efficiently and amicably.
• Separate the problem from people.
• Be soft on the people, hard on the problem.
• Proceed independent of trust.
• Focus on interests, not on positions.
• Explore interests; avoid having a bottom line.
• Invent options for mutual gain.
• Develop multiple options to chose from; decide later.
• Use objective criteria.
• Try to reach results based on standards independent of will.
• Reason and be open to reason; yield to principles, not to pressure.
Positional Bargaining: Which Game Should You Play? Change the Game-Negotiate
on the Merits
Soft What? Hard What? Principled What?
Be soft on the people and the Be hard on the problem and Separate the people from the
problem. the people. problem.
114 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
A ROLE FOR DR. JONES-UGLI ORANGE CASE
You are Dr. J.W. Jones, a biological research scientist employed by a pharmaceutical firm.
You have recently developed a synthetic chemical useful for curing and preventing
Rudosen. Rudosen is a disease contracted by pregnant women. If not caught in the first 4
weeks of pregnancy, the disease causes serious brain, eye, and ear damage to the unborn
child. Recently, there has been an outbreak of Rudosen in your State and several thousand
women have contracted the disease. You have found, with volunteer victims, that your
recently developed synthetic serum cures Rudosen in its early stages. Unfortunately, the
serum is made from the juice of the Ugli orange, which is a very rare fruit. Only a small
quantity (approximately 4,000) of these oranges were produced last season. No additional
Ugli oranges will be available until next season, which will be too late to cure the present
Rudosen victims.
You have demonstrated that your synthetic serum is in no way harmful to pregnant
women. Consequently, there are no side effects. The Food and Drug Administration has
approved the production and distribution of the serum as a cure for Rudosen.
Unfortunately, the present outbreak was unexpected and your firm had not planned on
having the compound serum available for 6 months. Your firm holds the patent on the
synthetic serum and it is expected to be a highly profitable product when it is generally
available to the public
You have been recently informed, on good evidence, that R.H. Cardoza, a South
American fruit exporter, is in possession of 3,000 Ugli oranges in good condition. If you
would obtain the juice of the 3,000, you would be able to both cure the present victims
and provide sufficient inoculation for the remaining pregnant women in the State. No
other State currently has a Rudosen threat.
You have recently been informed that Dr. P.W. Roland is also urgently seeking Ugli
oranges and is also aware of Cardoza's possession of the 3,000 available. Dr. Roland is
employed by a competing pharmaceutical firm. S/He has been working on biological
warfare research for the past several years. There is a great deal of industrial espionage in
the pharmaceutical industry. Over the past several years, Dr. Roland's firm and your firm
have sued each other for infringement of patent rights and espionage law violations
several times.
You have been authorized by your firm to approach Cardoza to purchase the 3,000 Ugli
oranges. You have been told s/he will sell them to the highest bidder. Your firm has
authorized you to bid as high as $250,000 to obtain the juice of the 3,000 available oranges.
Before approaching Cardoza, you have decided to talk with Dr. Roland so that you will
not be prevented from purchasing the oranges.
Recently, several World War II experimental nerve gas bombs were moved from the U.S.
to a small island just off the U.S coast in the Pacific. In the process of transporting them,
two of the bombs developed a leak. The leak is presently controlled, but government
scientists believe that the gas will permeate the bomb chambers within 2 weeks. They
know of no method of preventing the gas from getting into the atmosphere and spreading
to the other islands, and very likely to the West coast as well.
You have developed a synthetic vapor that will neutralize the nerve gas if it is injected
into the bomb chamber before the gas leaks out. The vapor is made with a chemical taken
from the rind of the Ugli orange, a very rare fruit. Unfortunately, only 4,000 of these
oranges were produced this season.
You have been recently informed, on good evidence, that R.H.Cardoza, a South American
fruit exporter, is in possession of 3,000 Ugli oranges. The chemical from the rinds of this
number of oranges would be sufficient to neutralize the gas if the serum is developed and
injected efficiently. You have also been informed that the rinds of these oranges are in
good condition.
You have also been informed that Dr. J.W. Jones is also urgently seeking to purchase Ugli
oranges and s/he is also aware of Cardoza's possession of the 3,000 available. Dr. Jones
works for a firm with which your firm is highly competitive. There is a great deal of
industrial espionage in the pharmaceutical industry. Over the years, Dr. Jones' firm and
your firm have sued each other for infringement of patent rights and espionage law
violations several times. Litigation of two suits is still in process.
The Federal Government has asked your firm for assistance. You have been authorized by
your firm to approach Cardoza to purchase the 3,000 Ugli oranges. You have been told
s/he will sell them to the highest bidder. Your firm has authorized you to bid as high as
$250,000 to obtain the rinds of the 3,000 available oranges.
Before approaching Cardoza, you have decided to talk with Dr. Jones so that you will not
be prevented from purchasing the oranges.
116 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009
buy a house for an unfounded reason; as far as she knows her credit is fine. In addition,
she is able to provide a sizable down payment.
Mrs. Moseley feels that Mr. Fred Hofman, the loan officer at Burb Savings and Loan
(BS&L), did not take her application seriously; he never seemed to have time to discuss it
with her fully. During the brief discussion they did have, he would not look her in the eye
and he acted as though there were other things he'd much rather be doing.
Mrs. Moseley wasn't sure he was treating her that way because she was a woman,
unmarried (a widow), Jewish, or older (72). She was particularly offended because she
had been banking at BS&L for many years, had contributed to the community in many
ways, and knew the community could benefit from her investment.
When Mrs. Moseley called OHR to find out how to file a complaint, she spoke with Mr.
Paul Kendrick, a case officer there. Mr. Kendrick discouraged her from coming in to file a
complaint, telling her she needed to have clear and convincing evidence that a particular
type of discrimination had occurred. Mrs. Moseley couldn't believe her legal protection
was so thin and became argumentative over the phone with Mr. Kendrick who eventually
hung up on her.
Mrs. Moseley called her attorney, Mrs. Michele Carmeli, Esq., to ask if it was possible to
file complaints against both OHR and BS&L. When Mrs. Carmeli agreed to look into it,
Mrs. Moseley was pleased, but as an afterthought asked if Mrs. Carmeli would have her
partner, Dave Mayer, handle this particular job, because the men at OHR and BS&L
would more likely listen to a male lawyer.
Although Mrs. Carmeli valued Mrs. Moseley's business very much, Mrs. Carmeli had
heard this line of thinking one too many times and coolly replied that if Mrs. Moseley
wished the services of the firm of Carmeli and Mayer, it was Carmeli who was available
to her.
CONFLICT ANALYSIS
Answer the following questions, based on the information you've just read.
1. Who are the main parties in this story?
2. What are the relationships between these people?
3. Are there any conflicts between them? If yes, what is the nature of each conflict
(data? relationship? interest? value? structure?)
4. What do you think Mrs. Moseley's conflict style might be?
5. Identify two communication styles described in this story.
6. List three communication barriers that the parties might be experiencing.
7. List a position statement for two of the parties.
8. According to the information you have here, list the underlying interest for each
position statement.
Task 1
1. In the Shebelle-Addis Asqual-Gift Trading dispute (discussed in Units 2 and 4)
form a team of lawyers who represent Shebelle Transport Share Company
and Addis Asqual PLC and come up with terms of offer for negotiation.
2. Draft a legal opinion to the General Manager of your company about the
offer you intend to make during the negotiations.
3. Conduct negotiations
Task 2
5. Write a legal opinion to the General Manager of Gift Trading PLC based on
the progress in the negotiation between Shebelle Transport and Addis
Asqual.
118 Pretrial Skills and Trial Advocacy: Brief Notes and Materials, February 2009