Inside a Settlement Conference: The Room, the Outcomes, and Trial

A settlement conference is the required meeting, held before trial in most contested cases, where both sides sit down with a deputy judge to see whether the dispute can be resolved without going any further. This guide goes well beyond the basics — covering exactly how to prepare, what the actual conversation tends to sound like, the range of outcomes that can come out of it, and how it compares directly to trial.

What a settlement conference actually is

Structurally, a settlement conference is a private, informal meeting — not a public hearing — between the parties to a case and a deputy judge, usually held in a conference room or over video or telephone rather than a formal courtroom. Its entire purpose is to explore whether the case can be resolved by agreement, and if it can't, to help both sides understand what's actually left to be decided at trial.

It's easy to underestimate how significant this stage is. A large share of contested Small Claims Court cases never reach trial at all, precisely because a settlement conference gives both sides a structured, low-stakes opportunity to test their position against a neutral, experienced set of eyes before committing to the time and effort of preparing for a full trial.

Who is actually in the room

• The plaintiff and defendant, either representing themselves or represented by a lawyer or licensed paralegal.
• A deputy judge, whose role here is different from their role at trial — more facilitator than decision-maker.
• Any additional parties, such as a defendant who has filed a Defendant's Claim against a third party, or a co-defendant.
• No witnesses. Unlike trial, witnesses generally don't attend or testify at a settlement conference — the discussion is between the parties (and their representatives, if any) and the deputy judge.

Because there's no formal testimony and no public gallery, the atmosphere tends to be noticeably more conversational than most people expect walking in for the first time.

How a case gets to this stage

A settlement conference is generally scheduled after a Defence has been filed in response to a Plaintiff's Claim, once it's clear the case is actually contested rather than resolved by default. The court sets a date, and both sides receive notice of when and how it will be held. If you haven't yet reached this point in your case, the how Small Claims Court works overview and the official Ontario Superior Court of Justice's guide to the Small Claims Court process are useful starting points for the stages that come before it.

Preparing beforehand

The single biggest difference between a settlement conference that goes well and one that doesn't is preparation. Walking in only with what you remember, rather than what you can actually show, tends to weaken your position at exactly the moment you most want to look credible.

Documents and numbers

• A copy of your filed Plaintiff's Claim or Defence, reviewed again shortly before the date so the details are fresh.
• Key supporting documents — contracts, invoices, receipts, and relevant communications — organized so you can reference them quickly if asked.
• A clear-eyed calculation of what you're actually owed, or what you actually believe you owe, including any interest or costs you'd expect. The prejudgment interest calculator and settlement offer calculator can help you arrive at a defensible number rather than a guess.
• A realistic settlement range — not just a single number — so you can respond flexibly to what actually comes up in the conversation.

A goal, not just a position

Before the date, decide honestly what a genuinely good outcome looks like for you. Is it a specific dollar figure? A payment plan? An apology plus partial payment? Going in only with "I want to win" gives you nothing to actually negotiate toward once the conversation gets practical. If you want to walk in with an actual offer already drafted rather than a rough idea, the settlement offer planner can help you put one together beforehand.

A step-by-step walkthrough

Picture a dispute over a $9,000 kitchen renovation contract, where the homeowner (the plaintiff) says the work was left unfinished and poorly done, and the contractor (the defendant) says the homeowner changed the scope repeatedly and still owes a final invoice. Here's roughly how their settlement conference might unfold.

1. Check-in. Both sides arrive or log in, confirm their identities with court staff, and wait for the deputy judge to begin.
2. Opening summaries. The deputy judge asks each side, in turn, to briefly summarize their position. The homeowner explains the unfinished work and cost to fix it; the contractor explains the scope changes and unpaid invoice.
3. Clarifying questions. The deputy judge asks specific questions — what exactly was left incomplete, whether there's a written change order for the added scope, what a third-party quote to finish the work actually says.
4. Candid observations. The deputy judge may point out, for example, that the homeowner's damages estimate seems high without a supporting quote, or that the contractor's unpaid invoice is hard to enforce without written evidence of the agreed change.
5. Negotiation. With a clearer, more realistic picture on both sides, the conversation shifts to whether — and on what terms — the case can be resolved right there. In this example, the two sides might land on a reduced payment from the homeowner that reflects both the unpaid invoice and a discount for the unfinished work.
6. Resolution or next steps. If they agree, the terms are typically put in writing and can become a binding order. If they don't, the deputy judge helps set out what still needs to happen — such as a trial date or further evidence exchange.

The deputy judge's role, and what "without prejudice" means

The deputy judge at a settlement conference isn't there to decide who's right. Their job is to help both sides see their case realistically, identify what's genuinely in dispute, and create space for a practical resolution. Hearing direct, sometimes blunt feedback about the weaknesses in your position is normal and shouldn't be taken personally — it's meant to help, not to signal how a trial would go.

Settlement discussions are generally treated as "without prejudice," meaning what's said in a genuine effort to settle generally can't be used against you later if the case proceeds to trial. This is precisely what allows the conversation to be candid rather than guarded.

The outcomes that typically follow

• Full settlement — both sides agree on specific terms, and the case concludes without a trial.
• Partial resolution — some issues are resolved, while others remain for trial, narrowing what's actually left to be decided.
• No resolution, but a clearer timetable — the case proceeds, often with a trial date or further steps (like additional document exchange) set at this stage.
• Consent order on process — sometimes the parties don't resolve the dispute itself but agree on procedural matters, such as a schedule for exchanging documents before trial.

Not settling isn't a loss. It simply means the dispute genuinely needs a decision-maker, and your case moves forward with a sharper sense of what's actually contested — see what to expect on your trial day for what comes next.

Settlement conference vs. trial

These two stages are often confused by people going through a case for the first time. Here's how they actually differ.

Special situations

• Multiple defendants. Each defendant is generally part of the same conference, which can mean more moving pieces and more possible partial settlements.
• A corporate party. A company is usually represented by an authorized representative, director, or officer, or by a lawyer or paralegal, rather than attending informally.
• By phone or video. Many settlement conferences are held remotely — treat this with the same preparation and seriousness as an in-person meeting, including a quiet location and your documents ready to reference.
• One side unrepresented, the other with a lawyer. This is common, and the process is designed to accommodate self-represented people at this stage regardless of whether the other side has legal representation.

What to do next

1. Re-read your own claim or Defence a few days before, so the details are fresh and consistent with what you'll say.
2. Organize your key documents into a simple, referenceable order — you don't need a full trial binder yet, but you should be able to find anything important quickly.
3. Calculate a realistic number or range using a tool like the settlement offer calculator, rather than negotiating from a vague sense of what feels fair.
4. Review how offers to settle work at offers to settle, since a formal offer made around this stage can affect costs later even if it isn't accepted.
5. Plan for both outcomes — bring your calendar in case the case proceeds toward a trial date, and decide in advance what you'd actually accept to settle.

For the complete procedural how-to — including notice requirements and what the court expects from each side — see settlement conferences in the main Court Process guide. For a shorter, scene-setting version of this same topic, see what really happens at a settlement conference. Official background on the process is also available from the Ontario government's guide to Small Claims Court procedures.

Frequently asked questions

This article is general legal information about how Ontario's Small Claims Court generally works, not legal advice about your specific situation — see the disclaimer for more detail.