Many of our readers who are business leaders in Kentucky probably know that most litigation these days does not end up at trial. In fact, civil lawsuits are most often ended with settlements of some kind. If your business litigation is heading toward a potential settlement, what should you expect?
Settlement overview
Well, for starters, obviously a settlement means the end of any pending litigation, once the appropriate paperwork is filed with the court. But, what compromises were reached to get to that point? In many cases, settlements are reached when one side pays the other a certain sum of money and, in exchange, the other side agrees to dismiss the lawsuit.
In many cases, there will likely be a “settlement agreement,” the terms of which can vary greatly from one case to another. But, in most cases, those settlement agreements can be enforced by either side if there is a belief that the terms and conditions of the agreement are not being followed – the same as any other contract. Oftentimes, the parties prefer to keep the settlement agreements confidential between them.
So, what does a “good” settlement look like? Some people will say that it is when neither party is happy. But, that isn’t necessarily true. In all likelihood, both parties are getting something they want and, as a result, they agree to put an end to litigation – which can be drawn out, time consuming and expensive for all parties involved. In the end, settlement may look like the best business decision to make.