Owing to the advent of ubiquitous computing technologies, the concept of Intelligent Environments has emerged, as an alternative approach to overcome the limitation of the built environment. Intelligent Environments can be more responsive to user-and context-specific human activities by automatically and dynamically modifying their settings without explicit human intervention. However, the conventional approach to the development of Intelligent Environments has mainly focused on the technical issues without paying much attention to the dynamic interrelationship between the user and the built environment. Therefore, differing or conflicting needs of multiple simultaneous users remain unresolved. The objective of this study is to present types of environmental conflicts and their resolution through agent collaboration and negotiation. For the demonstration and validation of the conflict resolution process, a set of hypothetical test cases is simulated in a 3D test environment. The result of the case simulations shows that the proposed approach is computationally feasible and applicable to the development of Intelligent Environments, and, furthermore, it can overcome the drawback of the conventional approach.