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PART Ⅰ: INTRODUCTION1

Chapter 1: Toward a Conceptual Approach to Negotiation7

A. The Steps of Negotiation: An Overview7

1. Preparation8

2. Information Exchange11

3. Agreement Proposals13

4. Resolution14

B. Conceptual Models of Negotiation16

Carrie Menkel-Meadow, Toward Another View of Legal Negotiation: The Structure of Problem-Solving17

Russell Korobkin, A Positive Theory of Legal Negotiation21

Robert H. Mnookin, Why Negotiations Fail: An Exploration of Barriers to the Resolution of Conflict26

Discussion Questions and Problems30

PART Ⅱ: THE STRUCTURE OF NEGOTIATION33

Chapter 2: Estimating the Bargaining Zone37

A. BATNAs and Reservation Prices37

Russell Korobkin, A Positive Theory of Legal Negotiation37

Notes41

B. Calculating Reservation Prices: A Prescriptive Approach43

1. Alternatives43

2. Preferences44

3. Probabilities of Future Events44

4. Risk Preference45

5. Transaction Costs47

6. Value of Time48

7. Effect on Future Opportunities49

Notes50

C. Aspirations57

G. Richard Shell, Bargaining for Advantage: Negotiation Strategies for Reasonable People58

Notes61

Discussion Questions and Problems63

Chapter 3: Psychological Factors in Evaluating Alternatives63

A. Risk Preference and the Framing Effect68

Jeffrey J. Rachlinski, Gains, Losses, and the Psychology of Litigation69

Notes74

B. The Endowment Effect and the Status Quo Bias76

Daniel Kahneman, Jack L. Knetsch Richard H. Thaler, Experimental Tests of the Endowment Effect and the Coase Theorem76

Russell Korobkin, Inertia and Preference in Contract Negotiation: The Psychological Power of Default Rules and Form Terms81

Notes85

C. Anchoring87

Russell Korobkin Chris Guthrie, Psychological Barriers to Litigation Settlement: An Experimental Approach88

Notes91

D. Overconfidence and the Self-Serving Bias94

George Loewenstein, Samuel Issacharoff, Colin Camerer Linda Babcock, Self Serving Assessments of Fairness and Pretrial Bargaining95

Notes99

E. Reactive Devaluation102

Lee Ross, Reactive Devaluation in Negotiation and Conflict Resolution103

Notes107

Discussion Questions and Problems108

Chapter 4: Integrative Bargaining111

A. Expanding the Bargaining Zone111

David A. Lax James K. Sebenius, The Manager as Negotiator115

Gerald B. Wetlaufer, The Limits of Integrative Bargaining121

Notes126

B. Strategies for Reaching Integrative Agreements129

1. Adding to and Subtracting Issues from the Negotiation Package130

2. Logrolling132

3. Avoiding the Fixed-Sum Error133

4. Focusing on Ultimate Interests Rather Than Superficial Positions134

Roger Fisher, William Ury Bruce Patton, Getting to Yes134

5. Confronting Adverse Selection and Moral Hazard Problems138

6. Exploring the Opponent s Interests and Preferences: Asking Questions139

7. Revealing Interests and Preferences141

8. Post-Settlement Settlements141

Notes142

Discussion Questions and Problems144

Chapter 5: Power149

A. Changing the Bargaining Zone152

B. Manipulating Perceptions of the Bargaining Zone156

Russell Korobkin, A Positive Theory of Legal Negotiation157

Notes162

C. Commitments163

Thomas Schelling, The Strategy of Conflict165

Notes168

D. Patience171

1. Costs of Lost Time173

2. Costs of Negotiating174

Notes175

Discussion Questions and Problems178

Chapter 6: Fair Division and Related Social Norms183

A. The Reciprocity Norm184

Robert B. Cialdini, Influence: Science and Practice185

Notes191

B. Convention195

Daniel Kahneman, Jack L. Knetsch Richard H. Thaler, Fairness as a Constraint on Profit Seeking: Entitlements in the Market196

Roger Fisher, William Ury Bruce Patton, Getting to Yes203

Steven Lubet, Notes on the Bedouin Horse Trade or Why Won t the Market Clear, Daddy ?205

Notes207

C. Norms of Distributive Justice209

Notes211

Discussion Questions and Problems218

PART Ⅲ: THE NEGOTIATOR221

Chapter 7: The Negotiator s Dilemma223

A. The Prisoner s Dilemma as Metaphor224

Robert Axelrod, The Evolution of Cooperation225

Notes231

B. Coping with the Negotiator s Dilemma233

Gerald B. Wetlaufer, The Ethics of Lying in Negotiation233

David A. Lax James K. Sebenius, The Manager as Negotiator235

Notes237

Discussion Questions and Problems240

Chapter 8: Conflict Style243

A. Cooperation versus Competition244

Gerald R. Williams, Legal Negotiation and Settlement244

Notes249

B. Empathy versus Assertiveness250

Robert H. Mnookin, Scott R. Peppet Andrew S. Tulumello, The Tension Between Empathy and Assertiveness250

Notes253

Discussion Questions and Problems254

Chapter 9: Group Membership257

A. Gender258

Charles B. Craver David W. Barnes, Gender, Risk Taking, and Negotiation Performance258

Carol Gilligan, In a Different Voice: Psychological Theory and Women s Development262

Notes265

B. Culture270

Jeanne M. Brett, Culture and Negotiation273

Jeswald W. Salacuse, Making Deals in Strange Places: A Beginner s Guide to International Business Negotiations279

Michele J. Gelfand Sophia Christakopoulou, Culture and Negotiator Cognition: Judgment Accuracy and Negotiation Processes in Individualistic and Collectivistic Cultures282

Notes287

Discussion Questions and Problems290

PART Ⅳ: ADDITIONAL PARTIES293

Chapter 10: The Principal-Agent Relationship295

A. The Benefits of Lawyer-Agents295

Ronald J. Gilson Robert H. Mnookin, Disputing Through Agents: Cooperation and Conflict Between Lawyers in Litigation298

Ronald J. Gilson, Value Creation by Business Lawyers: Legal SkilLs and Asset Pricing303

Notes309

B. The Principal-Agent Tension310

Evans v. Jeff D.313

Russell Korobkin Chris Guthrie, Psychology, Economics, and Settlement: A New Look at the Role of the Lawyer316

Notes320

Discussion Questions and Problems324

Chapter 11: Multilateral Negotiations329

A. Coalitions and Negotiating Power329

1. The Problem of Unstable BATNAs329

2. Power Dynamics: To Join or Not to Join the Coalition331

B. Fair Division334

C. Identifying the Bargaining Zone336

Donald G. Gifford, Legal Negotiation: Theory and Applications336

Notes339

Discussion Questions and Problems340

Chapter 12: The Use of Mediation in Negotiation343

A. The Potential Benefits of Mediation345

1. Facilitate Introspection and Analysis345

2. Facilitate Communication346

3. Evaluate Issues Relevant to the Parties Reservation Prices347

4. Filter Private Information350

5. Create Focal Points352

6. Reduce Reactive Devaluation353

7. Deter Extreme Distributive Tactics354

Notes355

B. Mediator Strategies356

Leonard L. Riskin, Understanding Mediators Orientations, Strategies, and Techniques: A Grid for the Perplexed357

Christopher W. Moore, The Caucus: Private Meetings That Promote ,Settlement365

Notes370

Discussion Questions and Problems372

PART Ⅴ: THE LAW OF NEGOTIATION375

Chapter 13: Misrepresentation377

A. Representations about the Negotiation s Subject Matter379

Vulcan Metals Co. Inc. v. Simmons Manufacturing Co. Inc.379

Notes380

B. Representations Related to the Speaker s Reservation Price385

Kabatchnick v. Hanover-Elm Building Corp.385

Notes387

C. Nondisclosure390

Swinton v. Whitinsville Savings Bank390

Weintraub v. Krobatsch391

Notes394

D. Sanctions for Misrepresentation.396

Cresswell v. Sullivan Cromwell396

Notes398

E. Misrepresenting the Objective: Bad Faith Negotiation399

Venture Associates Corp. v. Zenith Data Systems Corp.400

Notes403

F. The Ethics of Misrepresentation405

James J. White, Machiavelli and the Bar: Ethical Limitations on Lying in Negotiation405

Charles B. Craver, Negotiation Ethics: How to Be Deceptive Without Being Dishonest/How to Be Assertive Without Being Offensive406

Gerald B. Wetlaufer, The Ethics of Lying in Negotiations409

Reed Elizabeth Loder, Moral Truthseeking and the Virtuous Negotiator411

Discussion Questions and Problems412

Chapter 14: Rules Encouraging Litigation Settlement417

A. Fee Shifting and Offer of Settlement Rules418

Edward F. Sherman, From Loser Pays to Modified Offer of Judgment Rules: Reconciling Incentives to Settle with Access to Justice419

Notes423

B. Judicial Settlement Conferences426

In re Novak427

Notes432

Nick v. Morgan s Foods, Inc.434

Notes438

C. Inadmissibility of Settlement Negotiations440

Thomas v. Resort Health Related Facility441

Affiliated Manufacturers, Inc. v. Aluminum Co. of America443

Notes446

Discussion Questions and Problems447

Chapter 15: Limitations on Settlement451

Lewis v. Lewis452

1. Power Imbalances452

A. Judicial Review of Settlements452

2. Principal-Agent Conflicts454

Mars Steel Corp. v. Continental Illinois National Bank454

3. Protecting the Public Interest459

United States v. Microsoft Corp.459

B. Settlement in Multiple-Defendant Litigation463

Elbaor v. Smith464

Notes466

Discussion Questions and Problems467

Table of Cases469

Collected References471

Index479