I try to apply it all the time, but apparently it is a dying kind of dispute resolution.
It isn't a form of dispute resolution at all. You can't really forgive someone until they accept they did something wrong (well, I guess technically you can, but it doesn't achieve much), and once they've done that, the dispute is already resolved. All "forgive and forget" says is "once the dispute is resolved, move on, don't try and punish people for their mistakes".