I get the point, about why should he get caught up in it all.
I don't, however, see (again) why stopping legal action against separate parties would be the precursor to talks. Sure, it might end up a condition of any deal (and maybe one a deal falters on) but I'd always talk to people first, with no conditions.
That's the way to build trust from both sides, surely? So if legal action then stops it's because it's mutually beneficial to do so, rather than it looking slightly like bullying.
To put boots on other feet and all that jizz... I wouldn't be dropping legal action with no guarantee of a deal if I did. What, after all, would be in it for me? It's an empty statement as far as I'm concerned. Effectively he's saying he doesn't want to get involved which, going back to the start, is entirely his right.
But far better to just say that, as far as I'm concerned.