"If there's one thing that I can impress upon you that would make you a 10 times more powerful negotiator, it's this" says Roger, "Learn to develop walk-away power."
I've often seen this in mediations. These, in injury cases, often take place when the lawsuit is nearly done. There may be a trial date scheduled. (Which, by the way, greatly increases the chances of a successful settlement.)
Mediations are a non-binding way to resolve disputes. They usually take place at the office of one of the lawyers. A mediator is chosen by mutual agreement of both sides. The mediator will usually be a retired judge or an experienced lawyer.
Everyone meets in a conference room where each side has a chance to tell his story. The mediator then lays the ground rules and the sides split up into separate rooms.
The mediator then travels from room to room working with each side to reach a resolution.
Be Patient
One of the keys to a successful mediation is to feel no pressure whatsoever about settling the case. The best position to take is: we're ready to go to trial so if we can't get what we want to today "we'll see you in court."
Just having the right attitude can help you get the case resolved. But, if necessary, you leave at the end of the mediation and you have additional chances to settle the case before trial and even after trial starts.
My Roman Flea Market Experience
Maybe it wasn't a flea market but it was definitely outdoors and in Rome. My Italian companion of the day was helping me to buy a coat and guiding me through the process.
When I found a coat I liked (loved, actually) I was coached to act disinterested by stating it was not exactly what I was looking for. I made a very low offer which was promptly rejected.
We visited some other booths then returned. The coat really did not meet my needs I explained, raising my offer just a little.
After nearly an hour of this exercise the vendor sold me the coat for far less than I had expected to pay. The vendor was obviously angry. But I was prepared to walk away. And it paid.
Point of No Return
“The minute you pass the point when you're willing to say, ‘I'm prepared to walk away from this,' you lose in the negotiations” says Dawson.
Dawson tells the story of his daughter Julia who fell in love with a used car. The salesman knew it and the price showed it.
When Julia asked her father to help negotiate a better deal he asked her, “Julia, are you prepared to come home tonight without the car?”
“No, I'm not” she said, “I want it. I want it. I want it.”
“Julia” he said, “you might as well get your checkbook out and give them what they're asking, because you've already set yourself up to lose in the negotiations. We've got to be prepared to walk.”
And walk they did. Twice. And bought the car for $2,000 less than Julia would have paid for it.
Conclusion
Be prepared to walk away in an injury case or any other type of negotiating.
