negotiation in a down economy

Negotiating in a Down Economy Negotiating in a Down Economy LACBA Solo & Small Firm and Legal Tech ConventionLACBA Solo & Small Firm and Legal Tech Convention

Victoria Pynchon and the Hon. Alexander Williams, III (Ret.) Victoria Pynchon and the Hon. Alexander Williams, III (Ret.)

ADR Services, IncADR Services, Inc..

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• 5 years full-time neutral experience• 25 years commercial litigation/trial

experience• LL.M Dispute Resolution, Straus

Institute• 20 years teaching experience

– Business Law, Cal State Northridge– Negotiation & Mediation Strategy &

Tactics: Straus Institute, UCLA Anderson School of Management, USC Law School, Fortune 500 In-house counsel, AmLaw 200 firms

– National Institute of Trial Advocacy

Hon. Alexander Williams III

Settled hundreds of major civil cases as Superior Court Judge (24 years)

Full-time Settlement Judge for 3 yearsAdjunct Professor, Straus Institute for Dispute

ResolutionCo-Teacher, California Judicial College Civil

Settlements CourseInstructor, Los Angeles Superior Court

Settlement CoursesHundreds of hours of formal ADR training

(Pepperdine, Harvard, ABA, et al.)“Peacemaker of the Year,” Southern California

Mediation Association

Why do people seek the services of attorneys?

Relative Benefits v.

Absolute Numbers

Persuasion Exercise

• Object of the game– Get your partner to come

over to your side of the line

– The winners will each will $1.00

What do we most want to know

What do they WANT??????

Tit for Tat Most Successful Negotiation Strategy

• Cooperate• Retaliate for failure to

cooperate• Quickly forgive• Return to cooperation

Dealing with Difficult People

Behind every accusation is a cry for help

They’re not difficult They are uninformed

They don’t understand the case lawThey haven’t considered trading items of low value to them but high value to you

They don’t foresee the bright economic future you doThey are too distracted by emotional considerations to make rational choices

You haven’t given them a way to accept your view without losing face

They are not irrational They have hidden constraints

They’re not evil; they have hidden interests.

From Bazerman & Malhotra, Negotiation Genius

Gaining the Upper Hand

The Population of Syria

18,448,752

– Nature of problem deal is capable of resolving

– Characterize deal in way favorable to your strengths

• Routine extension of old rather than new “deal”

• View sale of biz as stand-alone vs. synergy created by acquisition by buyer

– Focuses on future rather than present

– Focuses on value to BOTH parties

framing

Negotiating from a Position of Weakness

Don’t reveal own weaknessLeverage their Weakness

Identify and value your worthEstablish metrics of value that satisfy party interests:

attorney-client partner-associate

plaintiff-defendant attorney-judge

Reframe Weakness as Strength

• 1912 Presidential campaign

• Used photo of Roosevelt without permission

• 3 million copies printed• Penalty $1/copy

• Telegram: planning to print 3 million copies of campaign speech. Excellent opportunity for photographers.

• How much are you willing to pay us to use your photograph?

• “Appreciate opportunity but can afford to pay $250.”

Be consciousBe curious

Ask questionsReflect back answersRequire cooperation

Problem solve