Hmm, after one day you are declaring it "dead?" Let's step back a second and look at this. First no matter what the process and lawyers create animosity and conflict. Notice how once the two of you sat down you were able to discuss things like mature adults? Well lawyers get paid to take sides and they are also paid to "win." There are no winners here other than the lawyers that get everyone's money.
So you two were able to have reasonable, even good and light hearted discussions. Good, now if you really want to save it all don't push any further, keep your chin up, keep a good attitude and shut your mouth if what you want to say isn't constructive. Then let time heal the wounds. Sure it's been a while and the severity of the wounds make mean it'll take a while longer. Rome wasn't built in a day. Re-read the DR/DB books and put them to work for you.
If we really want to love, we must learn how to forgive. - Mother Theresa