A mandatory settlement conference in California is a court-ordered meeting where every party in a civil case sits down with a judge or judicial officer to try to resolve the case before trial. It’s governed by California Rule of Court 3.1380, it takes place at the courthouse at no cost to you, and it requires personal attendance, a written statement from each side, and good-faith negotiation. Most civil cases pass through one, and how you prepare matters more than most people realize.
How It Differs From Private Mediation
People mix up settlement conferences with mediation, and the differences change how you should prepare. A mandatory settlement conference is ordered by the court and run by a judicial officer for free. Mediation is voluntary and run by a private neutral you pay.
Confidentiality is the bigger issue. Private mediation is shielded by broad protections under Evidence Code sections 1115 through 1129. A settlement conference does not get that same blanket protection. Settlement offers made during the conference are inadmissible to prove liability under Evidence Code section 1152, but your conference statement and other communications may be admissible at trial unless the parties agree otherwise. Treat your statement as a document the trial judge could eventually see.
One more practical difference: in mediation, your brief goes only to the mediator. Here, your settlement conference statement must be served on every other party at least five court days before the conference. There are no secrets in the paperwork.
Preparing Your Settlement Conference Statement
Rule 3.1380 requires each party to file and serve a statement at least five court days before the conference. It must include four things:
- A good-faith settlement demand from each plaintiff, meaning a number you would actually accept.
- An itemized breakdown of damages, separating economic losses (medical bills, lost wages, property damage) from noneconomic losses (pain and suffering, emotional distress).
- A good-faith settlement offer from each defendant.
- A detailed discussion of the facts and law on liability and damages from your side.
Local courts pile on their own requirements, so check your county’s local rules well ahead of the deadline. Some counties want documentary evidence attached, such as medical records, repair estimates, or income verification. Others want a witness list or proposed exhibits. If you’re unsure what your court expects, the clerk’s office or the court’s website will usually have the local form or supplemental instructions.
The statement is not a formality. Settlement officers read them closely and use them to frame the negotiation. A vague statement signals that you’re unprepared, and it weakens your position before you’ve said a word. The numbers matter too. An absurdly high demand or a lowball offer tells the officer you aren’t serious and makes the other side less willing to engage.
Who Has to Show Up
Rule 3.1380 requires three categories of people to appear in person: the parties themselves, their trial attorneys, and anyone whose consent is needed to finalize a settlement. If insurance is involved, the specific adjuster or representative with authority to approve payment up to the policy limits must be present. Sending someone who has to call the office to get approval defeats the purpose and can draw sanctions.
Remote appearances at civil conferences are allowed under Code of Civil Procedure section 367.75 and Rule of Court 3.672, and courts are encouraged to permit them to improve access and reduce costs. Judges still have discretion to require in-person attendance if they think a physical presence will help resolve the case. Many judges prefer it for settlement work, where negotiation dynamics play a real role. If you plan to appear by video, file your notice of remote appearance according to your local procedures, and be ready for the possibility that the judge denies it.
What Happens During the Conference
The conference usually opens with a joint session. The settlement officer meets with all parties and their attorneys together, lays out expectations, and may ask each side to summarize its position briefly. This isn’t the moment for trial-level argument. The officer is looking for the core dispute and the size of the gap.
After that, the parties separate into different rooms. The officer moves back and forth in what’s called caucusing. This is where the real work happens. The officer will test your case by pointing out weaknesses you may not want to hear, carry offers between rooms, and probe for creative solutions beyond a straight dollar figure. A good officer pushes both sides toward reality without taking sides.
Plan on a few hours at minimum, and possibly a full day. Cases that look hopeless at 10 a.m. sometimes settle by 3 p.m. after enough back-and-forth narrows the gap. If the officer thinks progress is being made, expect to stay.
How the Conference Ends
Full Settlement
When both sides reach a complete agreement, the terms are typically placed on the record in front of the judge or a court reporter. Under Code of Civil Procedure section 664.6, a settlement stipulated to in writing and signed by the parties, or stated orally before the court, is enforceable by motion. The court can enter judgment on those terms or retain jurisdiction to enforce performance. An attorney or an authorized insurance agent can also sign on a party’s behalf under certain conditions.
Get the agreement on the record before you leave. If one side later tries to back out, the recorded stipulation gives you a straightforward path to enforcement without relitigating the case. Don’t walk out of the courthouse with just a handshake.
Partial Resolution
Sometimes the parties agree on some issues but not everything. Narrowing the dispute still has value. Fewer contested issues at trial means less time, lower cost, and a simpler case for the judge or jury.
Impasse
If nothing settles, the officer reports the impasse to the trial court and the case moves toward its scheduled trial date. An impasse at the conference doesn’t mean the case will never settle. Many resolve in the weeks that follow, once both sides have digested the officer’s feedback about their strengths and weaknesses.
Section 998 Offers in the Background
Code of Civil Procedure section 998 gives every settlement number in the room extra weight. Any party can serve a written 998 offer before or during the conference. If you reject the offer and the eventual judgment is less favorable than what was offered, you lose the right to recover your post-offer costs and become responsible for the other side’s post-offer costs, including expert witness fees.
That cost-shifting adds real risk to every rejection. A defendant who makes a reasonable 998 offer puts financial pressure on a plaintiff who insists on trial. The reverse holds too: a plaintiff who serves a generous 998 demand shifts risk onto a defendant who refuses to pay. Whether or not a 998 offer is on the table at the conference, understanding how it interacts with the numbers being discussed helps you evaluate what to accept.
If the Injured Party Is a Minor
An agreement reached at the conference is not the end of the process when a child is involved. California Probate Code section 3500 requires court approval of any compromise or settlement of a minor’s disputed claim. The judge separately evaluates whether the amount is fair and whether the minor’s interests are protected, including attorney’s fees and how the proceeds will be held or invested. Plan on a separate hearing before the deal is final.
What Happens If You Skip It or Show Up Unprepared
Skipping the conference or going through the motions carries real consequences. Rule of Court 2.30 authorizes the court to impose monetary sanctions on anyone who fails to comply with court rules without good cause. Those sanctions can include the other side’s reasonable attorney fees and expenses for preparing for and attending the conference.
Sanctions aren’t just for no-shows. Appearing without settlement authority, refusing to engage in negotiation, or filing a statement with no good-faith demand or offer can all be treated as failures to comply. Courts have limited patience for parties who treat the conference as an obstacle rather than an opportunity. If you genuinely believe the case can’t settle, you still have to attend, participate, and explain your position. The obligation is to negotiate honestly, not to accept an offer you don’t want.
Asking to Reschedule
If a scheduling conflict or emergency comes up, you can request a continuance under Rule of Court 3.1332 by showing good cause. File as early as you can. Waiting until the morning of the conference to ask for a postponement is unlikely to go well and may itself result in sanctions.