In some situations, the court application may be needed in order to obtain relevant information that may help the parties resolve the issues. A court application may also preserve a limitation period that would otherwise expire while the parties negotiate.
After a court proceeding is initiated and all sides are well informed, most cases are settled by direct negotiation between counsel. In some jurisdictions , such as Toronto, the parties may also be required to attend a mandatory mediation session after a court application is started. In many cases, the parties negotiate a settlement with the assistance of the mediator.
In some cases that deal with the financial interests of minors or incapacitated individuals, a settlement may be conditional until it is approved by a judge.