Explored how ancient Chinese judicial officials used mediation to settle lawsuits, among which Wu You and Hai Rui, among other upright and honest officials, were typical representatives of implementing this strategy. The practice of 'settling lawsuits' is not only a natural extension of the Confucian concept of' no lawsuits', but also a practical choice in response to limited litigation resources. The article cites Wang Huizu's viewpoint and emphasizes that most litigation cases stem from minor disputes or malicious instigation between neighbors. Through fair trials and rational education, parties can be encouraged to repent and resolve conflicts. In some cases, even if the case has been accepted, after mediation by relatives and neighbors, the government should allow the withdrawal of the lawsuit to achieve the resolution of the dispute.