Negotiating a settlement involves reaching an agreement that is mutually beneficial for all parties involved, typically to resolve a dispute or claim. It's a process where parties consider their alternatives to a negotiated agreement and assess the subjective value of each, aiming for a joint agreement that offers higher worth than proceeding without it. This can occur before or during a lawsuit, or even before one is filed, and can take place in court, through phone calls, emails, or in-person meetings.