Helping Your Clients Navigate Settlement Decisions in Mediation

As lawyers, we’ve all been in the situation where a potential settlement looks like it’s in the client’s best interests . . . . but the client wants to walk away. It’s an issue that requires your legal knowledge, patience, and strategic guidance.

When a client hesitates to accept an offer or demand that you believe is reasonable, it can help to take a methodical approach to either help your client see the light or help you understand their perspective.

🔹 Clarify the Settlement Proposal– Before assuming your client’s resistance is misguided, make sure the client understands the proposal. Walk through each provision and explain the impact. Clarity is key.

🔹 Understand Their Concerns – Clients may reject a settlement for a variety of reasons. Ask your client open-ended questions such as: What about this proposal doesn’t sit right with you? What outcome are you hoping for instead? Why do you think trial is a better option?

Your client’s answers to these questions will help them focus on the issues  and their answers may changer your perspective.

🔹 Reframe the Benefits – As lawyers, we tend to focus on legal strategy. Our clients are more concerned about how the settlement affects their life or business. Some clients are looking for a “win”. Others focus more on risk and reward or justice.

🔹 Discuss Alternatives Honestly – Clients need to know the risks, costs, and time commitment of continued litigation. Outline the best-case scenario, and also the worst-case. Don’t hesitate to have a pre-mediation conversation with your mediator. Sometimes newer lawyers struggle to give their client bad news about risks and costs of continued litigation. The mediator may be able to help deliver bad news to your client without jeopardizing your client relationship.

🔹 The Client is (Almost) Always Right – The ultimate decision belongs to the client. As long as they are making an informed choice, respect their right to move forward or walk away—even if it conflicts with your opinion. Legally competent clients have the absolute right to be more or less risk averse than their lawyer. If you can’t take their case to trial in good conscience, then tell them that so they can factor that into their decision. If your client wants to settle a case for what you believe is an unreasonably high or low amount, make sure they are fully informed, and then respect their decision. One of the best ways to protect your client from making a bad decision at mediation is to fully prepare them for the process ahead of time.

🔹 Put Advice in Writing – If your client is struggling to make a decision at mediation and the mediation ends or is put on hold, summarize your thoughts in writing. This gives your client time to reflect without pressure.
Mediation is about more than just reaching an agreement—it’s about helping clients make good decisions.