Early Litigation Settlements Often Save Money
A study of court settlements in personal injury lawsuits against businesses estimated companies could save an average total of $114,000 per claim or $670,000 for severe injuries by promptly settling cases instead of fighting them in court.
The study, which was published this month in the Columbia Business Law Review, also projected $32,000 in savings from lower legal expenses, or about $211,000 for cases involving severe injuries.
The study based the projections on how much it would cost businesses to make "early offers" to pay out-of-pocket medical expenses and wage losses of injured claimants. The quick settlements would reduce legal fees and "pain and suffering" damages.
