This study examines the settlement of juvenile criminal cases when diversion
efforts fail, focusing on the framework provided by Supreme Court Regulation No.
1 of 2024 concerning Restorative Justice. Diversion, as required under the Juvenile
Criminal Justice System Law, aims to resolve cases through dialogue and
agreement outside formal adjudication. However, diversion often fails due to
disagreements over compensation, insufficient cooperation between parties, or the
seriousness of the offense. Using a normative legal research method, this study
analyzes how PERMA No. 1/2024 enables judges to reintroduce restorative
mechanisms even after earlier diversion attempts have been unsuccessful. The
findings show that the regulation strengthens the role of judges as facilitators of
restorative processes, broadens opportunities for non-custodial outcomes, and
reaffirms the principle of the child’s best interests. PERMA No. 1/2024 ultimately
bridges the gap between failed diversion and formal proceedings by ensuring that
restorative justice remains accessible throughout the judicial process.