Negotiation Planning/Evaluation Form

Planning Form Quarry

Principles and Standards  What standards/principles can your client cite? o Tax assessment was $400K o Paid $2,500 per acre for quarry land; implies 100 x 2500, or $250K plus house o Fair market value of 560K last year, but market dropped 20% to about 450K  What are they likely to cite, or use to rebut yours? o Tax assessments are lower than FMV o House is worth a great deal to them, and so is barn o Ancestral home has high sentimental value Leverage  What will you do if you can’t get an agreement? o Litigate: 90% certain to win o Can pay for litigation, and perhaps they cannot o But it takes a year, and Quality Quarry (QQ) may not be able to start operations. o If you can, you could make life difficult for them o Costs: $100K for hauling, 200K lost profits, 150K legal fees and 150K delay, or $600K total cost to QQ if not settled  What will they do? o Continue to oppose you o Stay on their land until bitter end  Who thinks they have the most to lose? Can you influence that perception? o Probably they do, especially if you start operations Interests  What does your client care about, other than money? o Quick permitting—exploit its existing land o Easy access to highway to avoid haulage costs o Mine 60 acres of Branam land  What do you think the other side cares about, other than money? o Home o Peace and quiet o Preservation of land and heritage  What options might satisfy your/their interests? o Allow them to stay on some of land while QQ has access road and use of rest o Relocation assistance o Restoration of land after quarrying; Right of first refusal on repurchase o Recognize their family through park, picnic area, naming of road, plaque Information  What do the Branams plan to do with the money if they sell?  Is there any assistance Quarry can give other than simply buying the property? Assistance with moving, for instance?  Would the Branams be interested in keeping their house plot? In having the property restored and used in any specific way after quarrying is over?

Goals  What would be an excellent (“A”) result? (Ask each student to define this privately) Probably around $300-400K, under roleplay instructions  What is the minimum (“C”) result you must achieve to settle? Pay around $600K or even more