Pushed to the sidelines by the Arab uprisings, the Israeli-Palestinian conflict has made it back to international headlines following the recent escalation of violence in Gaza and Israel, and the granting of Palestinian observer state status at the United Nations. New realities have emerged that, if managed correctly, can create a more favorable setting for the inevitable task of resuming peace negotiations. Three conditions are indispensable in order to transform these developments into an opportunity for diplomacy: a reconciliation between the Palestinian factions of Hamas and Fatah, a bold new attempt by the United States and its partners aimed at strengthening accountability mechanisms for both sides while delineating clear incentives and disincentives for resuming negotiations, and an effort by the United States and Europe to coordinate their activities with regional actors to increase Arab ownership of the process and help create a more level playing field between Israelis and Palestinians.