Promoting social competence and social cognition is an important aim of education and socialization. According to theories of social cognitive and moral development, social cognition may be promoted by adolescent peer interaction. In this study, social cognition is theoretically conceptualized by the interpersonal negotiation strategies model of Selman which distinguishes levels of perspective coordination and steps of information processing (identification of a problem, generating negotiation strategies, selection of a strategy, evaluation). In a pre-post control group design this study investigated whether dilemma discussions among peers lead to higher individual levels of perspective coordination compared to an individualistic condition. Members of the discussion-condition exhibited higher gain scores in perspective coordination compared to the control group regarding the information processing steps ‘‘generating strategies’’ and ‘‘strategy selection’’. In order to analyze verbal interaction in the discussion groups, an integrative coding schedule was developed. In addition, trait-like argumentative motives of the participants were assessed. The results of multilevel analyses suggest that progress in posttest-perspective coordination is mediated by the group’s consensual solution of the dilemma as well as by an explanation-oriented discussion style, but only if the latter is accompanied by a trait-like subject- and consensus-oriented argumentative motive. Theoretical and practical conclusions are drawn.