After 20 months of legal wrangling, neither side has managed to snag a win in Berlitz Japan's ¥110 million lawsuit against five teachers and their union, Begunto.

On the recommendation of the case's lead judge, the company and union have been in court-mediated reconciliation talks since December. The agreement to enter the talks came after a year of court hearings into the suit.

"The vast, vast majority of cases (in Japan) are decided out of court, and that's the way the whole thing is designed," explains lawyer Timothy Langley, president of Langley Enterprise K.K., a consultancy specializing in labor issues. "It works even though it's frustrating; people eventually define the solution themselves."