The appeal in the second instance can be settled in two ways:
 1. If both parties reach a settlement agreement during the second instance, the people's court may, at the request of the parties, review the settlement agreement reached by both parties, and prepare a mediation statement and serve it on the parties.
 2. If both parties reach a settlement agreement during the second instance, they may apply to the people's court for withdrawal of the lawsuit. The people's court shall grant permission if it is confirmed after examination that the conditions for withdrawal of the lawsuit are met.
 [Legal Basis]
 In Article 172 of the Civil Procedure Law, the people's court of second instance may conduct mediation when hearing an appeal case.
 When an agreement is reached through mediation, a mediation statement shall be made, signed by the judges and the court clerk, and sealed by the people's court. After the mediation statement is served, the judgment of the people's court that originally tried the case shall be deemed to be revoked.