We propose a solution for bargaining models where groups of individuals bargain with each other. The solution constitutes a Nash solution within as well as across groups. An individual may be worse off bargaining as a member of a group than bargaining alone (the joint-bargaining paradox) in a pure-bargaining situation. It can be, however, profitable to bargain as a group in a non-pure bargaining situation. (C) 2004 Elsevier B.V. All rights reserved.