ABA Formal Opinion 518 addresses a lawyer’s duties when acting as a third-party neutral mediator under ABA Model Rule 2.4, as well as other rules applicable to third-party neutrals. In general, a neutral should: 1) inform all parties that the neutral does not represent them; 2) ensure that all persons involved understand the neutral’s role; and 3) afford the parties an opportunity to discuss what that means.  

As with all lawyers, a neutral is required to avoid communications that are dishonest, fraudulent, deceitful or misrepresentative. See, ABA Model Rule 8.4(c) and TDRPC 8.04(a)(3). Opinion 518 acknowledges that lawyers representing parties in negotiations are permitted to engage in “puffery” or exaggeration about certain matters. They can downplay their client’s willingness to compromise or even overstate the strength of their client’s case, as parties understand that…