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Why Equine Lawsuits Sometimes Settle
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Some statistics say that as many as 97% of cases are settled or dismissed without ever going to trial.  Many people believe that out-of-court settlements are downright wrong, especially if your position in the case seems strong and winnable.  Why do cases settle?

Litigation Cost

Litigation can be expensive.  Settlements are a way of stopping the expense.

No “ Loser Pay” Rule

“I’ll win this case, and the losing party will pay my legal fees,” you may think.  Don’t count on it.  Courts might order one side to pay another’s fee if (1) the judge found the losing party had a frivolous case or defense; (2) an enforceable written contract properly addressed legal fees; (3) a law requires the loser to pay the winner; or (4) a court rule allows the winning party to be reimbursed.

Unpredictability of Jury Verdicts

Whether you are the plaintiff or the defendant, you will likely agree that any trial can be a gamble because the outcome is never certain.

Avoiding Possible Bad Precedent

Parties sometimes settle cases simply because of the possibility that the appeals court could give you a bad result that would create a bad precedent (guiding authority) for people like you in future cases. 

The Complexity of the Lawsuit Compared to the Amount Demanded

If winning the case would require tremendous legal cost, possibly even more than the amount at stake, this could motivate a settlement.

Settlement decisions take careful thought and, often, an understanding of the legal implications.  Contact me if you have questions.

Categories: Sales/Disputes

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