Navigating the legal process can be overwhelming, especially if you’re unfamiliar with the different outcomes your case might have. If you’ve suffered an injury in New York and are pursuing legal action, you may come across terms like settlement and verdict.
While both can resolve a case, there are crucial differences between them that can affect the outcome of your lawsuit.
This FAQ will break down the verdict vs settlement debate, answer your most pressing questions, and help you better understand the potential results of your case.
What Is a Settlement?
A settlement is an agreement between the parties involved in a lawsuit—usually the plaintiff (you) and the defendant (the person or company you’re suing)—to resolve the case without going to trial. In a settlement, both sides negotiate and agree to an amount of compensation that the defendant will pay to the plaintiff.
This option can be appealing because it avoids the unpredictability of a lawsuit verdict and can resolve the matter more quickly.
- How are settlements reached? Settlements can happen at any stage in the legal process. Sometimes, they occur before a lawsuit is even filed, during the trial, or right before the lawsuit verdict. Both parties will negotiate the terms, and if they agree, the case is resolved.
- Are settlements legally binding? Once both parties sign the settlement agreement, it becomes a binding contract. This means that neither party can change their mind and take further legal action based on the same issue.
What Is a Verdict?
A verdict is a decision made by a judge or jury after a trial. Unlike settlements, a lawsuit verdict occurs when the case is fully litigated in court and the decision is based on the evidence and arguments presented.
- Who decides the verdict? In most personal injury cases, the verdict is decided by a jury. The jury listens to both sides, examines the evidence, and makes a decision on who is at fault and how much compensation is owed.
- Can a verdict be appealed? Yes, unlike a settlement, a verdict can be appealed if one party believes there was an error in the trial. This can prolong the legal process and delay any potential compensation.
Settlement vs. Verdict: Which Is Better?
There’s no one-size-fits-all answer to whether a verdict vs settlement is better for you. It largely depends on the specifics of your case, your personal preferences, and how willing you are to take certain risks.
- Speed and Predictability Settlements are typically faster and more predictable. Once both parties agree to terms, the case is closed. With a verdict, the trial could last for months, and even then, you might not know the outcome until the jury makes its decision.
- Amount of Compensation Sometimes, you may receive more compensation with a verdict, especially if the jury sympathizes with your situation. However, a lawsuit verdict is risky because the jury could also rule in favor of the defendant, leaving you with nothing.
What Types of Cases Usually Settle?
Most personal injury cases in New York settle before going to trial. Insurance companies often prefer settlements to avoid the cost and uncertainty of a trial.
In fact, it’s estimated that over 90% of personal injury lawsuits end in settlement.
- Why do so many cases settle? Going to trial is expensive and time-consuming for both sides. Additionally, juries can be unpredictable, and insurance companies may offer a reasonable settlement amount to avoid taking the risk of a larger verdict.
Can I Reject a Settlement Offer?
Yes, you can reject a settlement offer if you believe it’s too low or unfair. Your attorney will advise you on whether it’s in your best interest to accept or continue negotiations.
If you reject the offer, your case could go to trial, where a lawsuit verdict will be decided by a judge or jury.
- What happens after I reject a settlement? If you reject a settlement offer, negotiations may continue, or your case could go to trial. This decision will depend on how far apart both parties are in their negotiations and your willingness to go through a potentially lengthy court process.
Will I Pay Legal Fees if My Case Settles?
At the CEO Lawyer Personal Injury Law Firm, we work on a contingency fee basis, which means we only get paid if we win your case. Whether your case is resolved through a settlement or a lawsuit verdict, our legal fees will be a percentage of the compensation awarded to you.
- Are there any upfront costs? No, there are no upfront costs. We handle everything for you, and you don’t pay anything unless we successfully recover compensation for you.
How Long Does It Take to Get Compensation After a Settlement or Verdict?
Once you reach a settlement, the time it takes to receive compensation can vary, but it’s typically faster than waiting for a lawsuit verdict.
- Settlement Payments After agreeing to a settlement, it could take a few weeks to a couple of months to finalize everything, depending on the complexity of the case.
- Verdict Payments If your case goes to trial and you receive a lawsuit verdict, the process might take longer. The defendant may appeal, which could delay the compensation even further.
What Are the Risks of Going to Trial?
While going to trial can potentially result in a larger compensation, it also comes with risks. A jury may not side with you, and you could walk away with nothing. Additionally, trials are more time-consuming, and legal fees could increase.
- What are the chances of winning at trial? The outcome of a trial is unpredictable. Even with strong evidence, there’s no guarantee that the jury will rule in your favor. It’s important to discuss the risks and benefits of going to trial with your attorney.
Can I Still Settle After the Trial Begins?
A settlement can indeed be reached even after a trial has started. This means that both parties, the plaintiff (the person suing) and the defendant (the person being sued), can agree to a resolution outside of the courtroom, even when the jury is deliberating or just before a verdict is announced.
Here’s why this is possible:
- Mutual Benefit: Both parties may realize that a settlement is more advantageous than continuing the trial. This could be due to factors such as the potential costs of continuing the trial, the uncertainty of a jury verdict, or the desire to avoid prolonged legal proceedings.
- Flexibility: The legal system is designed to encourage settlements, as they often provide a quicker and more efficient resolution than going to trial. This flexibility allows parties to reach agreements at various stages of the legal process.
- Negotiations: Even during a trial, lawyers for both sides may continue to negotiate a settlement. They may present new evidence, arguments, or offers in an attempt to reach a compromise.
However, it’s important to note that:
- Timing is Crucial: The closer a trial gets to a verdict, the less likely a settlement may be. This is because parties may be more invested in the outcome of the trial and less willing to compromise.
- Legal Counsel is Essential: If you’re considering a settlement during a trial, it’s crucial to consult with your attorney. They can advise you on the potential benefits and drawbacks of settling and help you negotiate a fair agreement.
Are Settlement Amounts Confidential?
Most settlements are confidential, meaning the details of the agreement won’t be disclosed to the public. This can be beneficial if you prefer privacy or don’t want your financial compensation to be public knowledge.
- Are verdict amounts public? Yes, in contrast, lawsuit verdicts are public, and the amount awarded by the jury or judge will be a matter of public record.
How Do New York Laws Impact Settlements and Verdicts?
New York’s personal injury laws can affect both settlements and court decisions. For example, New York uses a “pure comparative negligence” system, which means that even if you’re partially responsible for the accident, you can still receive compensation.
However, your award may be reduced based on your degree of fault.
- How does this affect settlements? The defendant’s legal team might try to reduce the settlement amount by claiming that you were partially responsible. A skilled attorney can help you refute these claims.
What Should I Do if I’m Offered a Settlement?
If you’re offered a settlement, it’s essential to review the offer carefully with your New York personal injury attorney. Don’t feel pressured to accept it right away.
Your lawyer will negotiate on your behalf and ensure that the settlement reflects the full extent of your injuries and losses.
- Can I negotiate a better offer? Settlement offers are just starting points for negotiation. A skilled attorney will fight to get you the compensation you deserve, whether through a settlement or a lawsuit verdict.
Deciding between a settlement and a verdict can be challenging, but you don’t have to make that decision alone. At the CEO Lawyer Personal Injury Law Firm, we have years of experience guiding clients through the legal process and helping them get the best possible outcome.
Whether you’re considering settling or taking your case to trial, we’re here to offer expert advice and dedicated representation. If you have any questions or need more information, don’t hesitate to reach out to us.
Contact the CEO Lawyer Personal Injury Law Firm today for a free consultation. Call us at (516) 689-1132.
By addressing these frequently asked questions, we hope to give you a clearer understanding of what to expect from your case.
