If all writings and oral agreements are confidential in mediation then how is the Settlement Agreement relied on?
Evid Code § 1119 and 1126 say all writings and oral agreements cannot be used in Court to prove what was said.
Simmons v. Ghaderi (2008) 44 Cal.4th 570
Foxgate Homeowners' Assn. v. Bramalea California, Inc. (2001) 26 Cal.4th 1
A written settlement agreement achieved through mediation generally contains a provision waiving the confidentially provisions of the Evidence Code and provides that the court has jurisdiction to enforce its terms.
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If parties settle during mediation, they sign an agreement which is enforceable in court-- meaning if one of the parties breaches the other party can sue for damages, etc. (depending on the specific terms of the agreement/contract different remedies are provided). Most agreements also waive all confidentiality in case of a breach.