We live in a very litigation-heavy world. By some estimates, there are over 40 million lawsuits per year. That’s a lot of people striking out with the arm of the law and trying to get what’s theirs. In this article, you will know 3 Important Facts You Should Know About Settlement Agreements.
If you’ve found yourself on either end of a lawsuit, it’s important to understand the ins and outs of how the process works. The most important element of all of this? Understanding how settlement agreements work.
What’s a settlement agreement? Read on and we’ll walk you through what you need to know about this essential part of the legal process.
- What’s a Settlement Agreement?
When a person brings a lawsuit forward against another individual, business, or entity, that lawsuit does not always necessarily go to court. In fact, in most cases, the two sides of the lawsuit will settle their differences outside of court.
This decision of compromise is known as a settlement. Essentially, the at-fault party promises certain terms, usually a payment amount in return for the dismissal of the suit.
A settlement agreement is often signed between an employee and employer. This paperwork essentially is an agreement that states you will give up your right to bring a claim against your employer in the courts.
There is no standard way to do a settlement agreement. The way one employee may structure theirs may be totally different than the approach another takes.
- You Need a Lawyer
You might think that just because your employer is looking to settle that means that you have them against the ropes. Maybe you think you don’t need any additional help – this would be a huge mistake.
Properly negotiating a settlement agreement is a huge task that requires a great amount of legal expertise. Outside of the know-how required to do all the needed paperwork properly, there’s the expertise that an attorney can bring to a case.
You don’t want to end up with less money, rights, or protection than you deserve. An attorney will make sure that you don’t.
- It’s Going to Take Time
When many people first hop into the legal process, they are energized and looking for an immediate result. Unless you are unusually lucky, this likely won’t be the case for you.
The process of reaching a settlement in almost any situation is a lengthy one. There’s a lot of negotiation to go through and the time waiting before each response can stretch to weeks.
It’s advisable to mentally plan out months in your mental timeline. That’s how long things might take.
Understanding Settlement Agreements
If you’re looking to bring a case against your employer, it’s important that you understand what settlement agreements are and how they work. The above are three important facts to understand about how these kinds of agreements work.
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