What is a Realistic Settlement?

One of the big advantages of a mediated settlement is that it’s realistic, which means that it’s a settlement that the parties can credibly promise to fulfill, and which takes care of all the issues on the table. To show why this is different, we need to understand how it differs from court judgments.

A court can only order the relief that is permitted by law, and that’s a lot narrower than many people think. For example, if Alfred and Betty are fighting over an agreement to sell a car that went wrong, most likely the court will only be able to order one party to pay money to the other, and only after a long litigation process. Presuming Betty wins, about the best she could hope for is a judgment that Alfred should pay her for the value of the car, and maybe her costs in bringing the case, though the latter is relatively rare. The court generally won’t consider whether Alfred has the money to pay, which may bring both right back to court in short order.

Mediators, on the other hand, can help parties come to much more detailed agreements. If we’re able to talk to both parties, we can get a fuller story, and maybe we discover that Alfred just flat out doesn’t have the money, but does have a car that would suit many of Betty’s needs. Betty, of course, is skeptical but would be interested in the car, presuming her mechanic says it’s in alright condition. Alfred might have had a bad experience with that mechanic, but could nominate some others that could do a fair inspection.

In mediation, we go into all of this, and can help Alfred and Betty to create an agreement that specifies that the replacement car goes to Carmen the mechanic for inspection, then, presuming Carmen signs off, over to Betty, and, if all goes well, the case is done. Both parties got an agreement they can really do, no one got entirely burned, and, most importantly, no one has to come back to court in a month.

When considering mediation, it’s a good idea to check out your local county’s Small Claims court, the proceedings of which are often on Zoom. You’ll hear the courts rush parties through complicated disputes and you’ll often see that the parties that win don’t look terribly happy; the reason why is that the court can only grant limited relief, and it’s very hard to get at a realistic solution. In court, a maximum of one party can win, and they may not get a victory worth having. In mediation, both parties win, and we pride ourselves on mediation agreements that wrap everything up and let the opposing parties get on with their lives.