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This episode of Professionals in Enterprise (PIE), host John Tulac features the Honorable John Pacheco, a retired judge with 22 years of service in the San Bernardino court system, then transitioned into private dispute resolution after his retirement. He serves as a neutral for Signature Resolution services and is recognized for his extensive experience in both criminal and civil law, along with his current work in mediation and arbitration.
Pacheco’s career shift from attorney to judge was influenced by the McCown versus Walmart case, dealing with vicarious liability, which reached the Supreme Court and resulted in a favorable ruling for his client. Following this trial, a presiding judge encouraged him to apply for judgeship despite his initial feelings of being unqualified. Accepting the position came with a significant financial sacrifice, as the judicial salary represented a fivefold decrease compared to his earnings in private practice. His first assignment in Joshua Tree, California, required a daily 92-mile commute from Riverside, highlighting the necessity for judges to be versatile in various fields of law regardless of their prior specialization. New judges undergo a mandatory two-week Judges College course, although currently, there is an approximate one-year wait before attending, meaning many serve on the bench without formal training for a year.
After more than two decades on the bench, Pacheco retired to spend time with his grandchildren while remaining active in the legal profession. He was approached by various Alternative Dispute Resolution (ADR) firms and ultimately chose Signature Resolution, attracted by its reputation for high-quality neutrals and organization class. He was recruited by Judge Buckley, a former presiding judge of Los Angeles, during a meeting on a boat in San Pedro. Signature Resolution’s business model empowers neutrals to succeed based on their own reputation, unlike other companies that often assign cases based on contracts and waivers of seventh amendment rights, requiring mediation or arbitration.
Dispute resolution methods varied significantly, particularly among trials, arbitrations, and mediations. Trial by jury, a fundamental right as per the American Board of Trial Advocates, can span up to seven years to finalize a resolution, including appeals. In contrast, arbitration mirrors court trials but with strict regulations, including a prohibition on ex parte communication. Mediation presents as a more informal and confidential approach, where parties resolve disputes without a judge or jury, fostering open communication.
The mediation process aims to resolve disputes informally, thereby alleviating the stress and financial burden associated with litigation. With well-paid lawyers charging between $800 and $1,000 per hour, mediation often emerges as a quicker and cost-effective alternative to extended disputes that could lead to substantial legal fees. A mediator’s central goal is to uncover the underlying issues of contention between parties, referred to as “the rest of the story.” While trials focus on determining a winner or loser, mediation addresses deeper emotional issues, enabling the continuation of business relationships. Traditional joint sessions in mediation have decreased in favor of private caucuses to prevent animosity in heated disputes. Mediators employ persuasion and listening, sometimes accepting responsibility for suggestions to help parties save face and reach resolutions.
Florentino Garza, a mentor to Pacheco, categorized lawyers into two types: those who rely on honest facts and those who fabricate facts. In mediation, it becomes critical to identify whether the client or lawyer is leading the negotiation. Some attorneys, especially in family law, may prolong litigation to amass fees, leading to a delayed settlement that could have been resolved promptly through mediation. Lawyers are obliged to advocate for their clients vigorously but should prevent becoming “zealots,” wherein personal ego may overshadow the best interests of their clients.
The PIE podcast aims to showcase Inland Empire professional talent, foster local economic development, and highlight the Provisors networking community. Catch the full show on YouTube @ProfessionalsofInlandEmpire.
