In a personal injury claim, a settlement conference is a meeting between the clients’ attorneys in a lawsuit in which they attempt to resolve their legal dispute before a hearing or trial. A judge or magistrate assigned to the case presides over the process, and their judgement can be final if all parties agree to the terms. Settlement conferencing is similar to mediation in that a neutral third party assists the parties in exploring settlement options. Settlement conferences are different from mediation, in that settlement conferences are usually shorter and typically have fewer roles for participation of the parties.
If all parties are open, a settlement conference is a fantastic opportunity for the lawyers and the judge to talk informally about the most important aspects of the case. Usually, it is off the record and outside the presence of the clients, so there is no reason to put on a show or debate for longer than necessary.
What should I expect at a settlement conference?
Many lawsuits that are filed never end up going to trial. This is often because the matter is settled between the parties before the trial date is reached. A settlement conference is one of the most common tools for settling a dispute before trial.
A settlement conference is designed to get all parties in the lawsuit together, so that they can attempt to negotiate and resolve the case. At the status conference, the judge or magistrate may ask about what discovery has been conducted, or how the case is progressing. They may also ask whether and how the parties have tried to settle the case, and other pretrial matters. A good faith settlement demand and offer must be exchanged in advance of the settlement conference. Your personal injury lawyer will need to spend some time with you before the settlement conference. The reason for this is to discuss with you what some of the expectations you should have about your case. That way, counsel appearing on behalf of their clients can be completely familiar with the case and possess complete knowledge and authority to negotiate and possibly settle.
Personal Injury Negotiations and Offers
The plaintiff (usually an injured victim) and the defendant (often an insurance company) reach an agreement on the amount of compensation that the defendant will pay the plaintiff for their injuries. This will be based on the strength of the plaintiff’s evidence and the extent of their harm and the related costs. In most cases, there has already been an offer extended that is your initial offer. This normally is quite a high number. It’s usually higher than your lawyer should expect you to get, because the insurance company will do the opposite. The insurance company will almost always come in with a very low offer. Often, the parties exchange several counteroffers before reaching a settlement that suits both sides.
Is it better to settle out of court or go to trial?
Settlement is faster, less expensive, and oftentimes less risky. Many personal injury cases settle out of court and before trial. Sometimes attorneys can settle before a personal injury lawsuit even needs to be filed. Settling out of court can provide a number of advantages over litigating a case through to the end.
Advantages of Out of Court Settlements
- Less Expense. Expenses can add up quickly if you choose to go to trial.
- Reduced Stress. The pressure and anxiety that comes with the process of going to trial can often feel overwhelming. A settlement conference adds the advantage of less spotlight and pressure.
- Privacy. There is no public record available to outside individuals.
- Finality. Once a settlement is reached, the door is closed on any appeals or renegotiation.