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5 Things You Should Consider Before Making An Out-Of-Court Settlement

As an experienced plaintiff’s attorney, I have filed hundreds of lawsuits on behalf of clients who have been injured (or experienced the death of a loved one) as the result of an car accident caused by another party. These victims are seeking compensation for the hardships they have endured, both financial and emotional, from the individuals or companies responsible for causing their pain. One of the biggest decisions I must make in each case is whether to agree to an out-of-court settlement or take the case to trial.

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Statistically speaking, the vast majority of cases are settled out of court and never see the inside of a courtroom.

However, I always prepare as if I were going to trial whenever I accept an auto accident case – so I’m ready to represent you in court if I need to.

Because every car accident case is different, there are no hard-and-fast rules that dictate when or if I try to reach an out-of court-settlement before a trial date arrives.

Here are five factors which I always consider:

1. The potential payout amount. If the facts of the case are such that I believe the lengthy and time-consuming process of a trial will result in a larger payout for my client, then I’m more likely to choose that option. On the other hand, if I think that a trial outcome will only slightly improve the eventual payout amount (or not improve it at all), then I will probably advocate for a pre-trial settlement.
2. A “lowball” or “nuisance” offer. Some insurance companies adopt the approach of offering a very small amount of money to plaintiffs in the hopes that the case will go away. If it appears that a defendant is uninterested in reaching a settlement that is acceptable to all sides, then I am more likely to consider trying the case in front of a jury.
3. The client’s feelings. Not all clients are patient or mentally strong enough to withstand the stress and frustration that a trial can produce. Some clients are also so financially strapped that waiting a few months to collect a larger payout may be the difference between solvency and financial ruin. In these situations, I tend to lean toward settling the case (though I won’t tell the defendant that).
4. My knowledge of the “players.” This term is a catch-all for everyone who is involved in the legal process – from insurance companies and defense attorneys to judges and courts. Since I have dealt with many of these players repeatedly over the years, I can often predict how they will approach a given case – whether they will negotiate in good faith or how plaintiff-friendly a jurisdiction is, for example. I can then use this experience to make a better decision on whether to try or settle a case.
5. The possibility of a favorable outcome. This is my most important yardstick when it comes to opting for a trial in an auto accident case. I do not go to trial to “make a statement” about a case in the media. I do not go to trial to embarrass the defendant or generate bad publicity for a company. I do not go to trial to be a pest or annoyance for a defendant. I do not go to trial to make a name for myself or my firm. The only reason I will recommend taking a case to trial is because I believe I can win. If I do not feel that I can get a favorable damage award for my client, then I won’t set foot inside a courtroom. Period.

Of course, the ultimate decision on whether to settle out of court or go to trial lies with the client. But when I make my recommendations on this tough choice, I always keep the best interests of the client in mind. Because if the client is not happy, then I’m not happy.



The Law Offices of
Barry G. Doyle, P.C.
5215 Old Orchard Road
Suite 710
Skokie, IL 60077
Phone: 312.263.1080
Fax: 312.263.0153

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