The cost of the lawsuit is not just the cost of the attorney to defend you. It is primarily the cost of the judgement.E.Marquez wrote:Very simple because law suits are cheaper to settle regardless of wrong doing then to defend.apostate wrote:If he didn't break the law or violate department policy, why are they paying $3 million to avoid the possibility of a lawsuit?
You can be sued at the drop of a hat for very little out of pocket $$ buy in, it takes deep pockets to defend yourself against that suit, even if you have the proof and evidence that would likely result in you wining the trial. It is often a business and economic decision to just settle and make the suit go away.
I have the unfortunate personal experience to know this all first hand, and the research i did because of it leads me to believe it is so common it is a cottage industry with a certain demographic of lawyers.
If you think the legal fees will be $100,000 through trial and you believe you will win, then you can offer $20,000 lets say, to make it go away. The opposing council may also realize he may not win and convince his client to take the money and run.
However, if the legal fees are again $100,000, however this time you feel you will lose and you fear the jury will be upset and will hit you with a $10,000,000 judgement. You settle for $3,000,000.