ce future litigation, informal resolution, such as mediation offers both a less hostile environment and one more conducive to compromise. The development of informal relations between regulatory agencies and the regulated firms is well known. (Galanter, 1975), and accordingly, Microsoft and the government have developed a set of relations that are mutually beneficial. To fight out their differences in court would leave both bitter and any dealings with each other in the future hostile. Because the conflict is one of interest and not of dissensus, there is more incentive to settle. Both the government and Microsoft will benefit from the continued operation of the firm; thus, they have the same goal, but disagree on how best to achieve it. Such a conflict of interest lends itself to the compromise model , in which the establishment of guilt is not at issue and also where the two parties involved in a dispute look forward to a relationship with each other in the future. The compromise model stresses compromise and agreement which is best achieved not through the formal court system, but through informal means of dispute resolution such as mediation. ...
