Trucking Accident Settlements: What to Expect

If you are the victim of a trucking accident, you have the legal right to file a lawsuit. A consultation with a personal injury attorney determines whether you have a legitimate case. If you file a claim, you are entitled to ask for a monetary settlement to compensate you for your injury or injuries. Your lawyer may want to reach an out-of-court settlement. Read the following information to understand the benefits and disadvantages of reaching a trucking accident settlement.

Reaching an Agreement Without a Jury

When your lawyer and the negligent party's lawyer agree to a legal settlement, you will not have a court trial. Sometimes, a settlement is reached via alternative dispute resolution (ADR) methods including mediation, negotiation and arbitration. You have a good chance of reaching a settlement when you use an ADR method.

Benefits of Reaching an Out-Of-Court Settlement

When you are able to reach a monetary settlement via an ADR method, you end up paying less money by avoiding expensive court fees. In addition, you save a considerable amount of time. Alternative dispute resolution techniques are designed to help both parties reach an amicable agreement. Everything you say to the mediator is strictly confidential. Signing an agreement does not imply that the negligent party is at fault.

If you are involved in a trucking accident lawsuit, a mediator acts as a neutral third party. The mediator does not have any biased opinions. You and your lawyer will have a chance to convey your position to the other party via the mediation of a trained ADR mediator.

Disadvantages of a Settlement

Most people involved in trucking accident lawsuits are able to reach settlements. However, there are negative aspects of reaching a settlement. Here are a few of the disadvantages:

1. As the plaintiff, you are required to sign a written agreement giving up all future legal rights to pursue your trucking accident case against the defendant.
2. If you sign a legally binding settlement agreement, you will no longer have the legal right to present the same case before a judge and jury.
3. The amount of monetary compensation you receive in a settlement agreement may seem unattractive when compared to the amount of recompense you might have received in a court case.
4. When you sign a settlement agreement, you forfeit the right to claim that the defendant is guilty for causing the accident. Furthermore, the other party is not convicted of a crime.

Two Types of Legal Settlements

Your lawyer, the defendant's attorney and the mediator may reach one of two kinds of settlements. A lump sum settlement is an amount of money that is paid in one lump sum. A structured settlement is an amount of money paid over a specified period. Your tax liability in a lump sum settlement is different from the liability incurred in a structured settlement. Before signing a settlement agreement, speak with a certified public accountant (CPA) about the net amount you will receive in each type of settlement.