my lawyer said we should accept the settlement offer, what is the next step?

However, you need to keep in mind that even if your attorney tells you not to accept the offer, you can still go ahead and accept that settlement offer. If you accept it, your attorney then has the obligation to notify the defense that the offer has been accepted and case has been settled.

Full Answer

Should I accept my lawyer’s settlement offer?

Your lawyer must discuss the settlement offer with you, because you are the one who has to make the actual decision about whether or not to accept the settlement offer. You have to understand the risks and benefits of accepting or rejecting the settlement offer.

When to accept a settlement offer early in a civil case?

A settlement offer early on in the proceedings, such as right after you’ve filed your petition, probably indicates a desire to get rid of the situation as quickly as possible. Settling a case early allows for a quick resolution but might mean you get less out of the deal than you would if you knew more about the issue at hand.

What does it mean to receive a settlement offer during trial?

A settlement offer during trial might mean that the other side thinks it’s going to lose and wants a more predictable way out of the situation. This is especially true if you’re involved in a jury trial. A settlement offer early on in the proceedings, such as right after you’ve filed your petition,...

How do I make a good settlement offer?

Take the opportunity to get creative. A settlement offer allows you to craft terms that actually fit the nature of the issue and come closer to satisfying the needs of all involved.

What happens after you accept a settlement offer?

After a case is settled, meaning that the case did not go to trial, the attorneys receive the settlement funds, prepare a final closing statement, and give the money to their clients. Once the attorney gets the settlement check, the clients will also receive their balance check.

How do you respond to a settlement offer?

Steps to Respond to a Low Settlement OfferRemain Calm and Analyze Your Offer. Just like anything in life, it's never a good idea to respond emotionally after receiving a low offer. ... Ask Questions. ... Present the Facts. ... Develop a Counteroffer. ... Respond in Writing.

Should you accept a settlement offer?

Never accept a settlement offer until your doctor understands the full impact of your injuries. Maximum medical improvement is the milestone in your recovery where the doctor acknowledges that there is nothing more they can do for you.

What does it mean when a lawyer wants to settle?

Your lawyer likely knows all of this information and is going to choose a route that truly benefits you. In this case, it could be settling so that you receive the compensation you deserve without taking a huge chunk for lawyer fees by going to trial.

How do lawyers negotiate settlements?

The negotiation process typically starts with your lawyer providing a written proposal for settlement to the insurance adjuster or the defendant's lawyer. The adjuster or lawyer will respond to your lawyer either in writing or over the phone.

Should you accept the first offer of compensation?

Unless you have taken independent legal advice on the whole value of your claim, you should not accept a first offer from an insurance company.

How long does it take to receive compensation after accepting offer?

How long will it take to receive my compensation after accepting an offer? After your claim has settled you should receive your compensation between 14 – 21 days. This depends on if your claim was settled in or out of court.

Are settlement offers good?

While settling an account won't damage your credit as much as not paying at all, a status of "settled" on your credit report is still considered negative. Settling a debt means you have negotiated with the lender and they have agreed to accept less than the full amount owed as final payment on the account.

What percentage of a debt is typically accepted in a settlement?

Typically, a creditor will agree to accept 40% to 50% of the debt you owe, although it could be as much as 80%, depending on whether you're dealing with a debt collector or the original creditor. In either case, your first lump-sum offer should be well below the 40% to 50% range to provide some room for negotiation.

How are settlements paid out?

Settlement payments can be made in a number of different ways: lump sum payments, installments, or even in loose change. You may have seen the story this week of Andres Carrasco, 76, who was less than pleased to receive a $21,000 settlement -- all in coins -- from an insurance company he'd sued for assault.

How long does it take to get settlement check after signing release?

about five to six weeksThe average amount of time to receive a settlement check after a release is signed is about five to six weeks. However, several factors can delay this process from the specific process at your insurance company to debts and payments that may hold up your payment.

How do settlement agreements work?

A Settlement Agreement (formerly known as a Compromise Agreement) is a legally binding agreement between you and your employer. This usually provides for a severance payment by the employer in return for your agreement not to pursue any claims in a Tribunal or a Court.

What does it mean to make a settlement offer?

A settlement offer during trial might mean that the other side thinks it’s going to lose and wants a more predictable way out of the situation.

What is a settlement offer?

Since a settlement offer is essentially a contract between the parties , you can feel free to suggest -- and agree to -- terms that might not have been available if you tried your case in court. For example, some settlement agreements require one party to make a formal apology to the other for the wrongs committed.

Why do you need a settlement?

2. Use a settlement to avoid risk. Whether you’re a plaintiff suing someone else or a defendant who’s been sued, a settlement provides the same opportunity to avoid the financial and emotional costs of litigation and create certainty in the outcome.

What to do if you don't like your chances of winning at trial?

If you don’t like your chances of winning at trial, though, a settlement may begin to look more attractive. Take the opportunity to get creative. A settlement offer allows you to craft terms that actually fit the nature of the issue and come closer to satisfying the needs of all involved.

What does it mean to settle a case early?

A settlement offer early on in the proceedings, such as right after you’ve filed your petition, probably indicates a desire to get rid of the situation as quickly as possible.

Why do companies offer early settlements?

Sometimes a company offers an early settlement because it doesn’t want to disclose sensitive information or trade secrets, or because it fears other parties will file similar suits. ...

Who signs the settlement agreement for a workers comp lawsuit?

For example, if you have an insurance company involved in your workers’ compensation lawsuit, the settlement agreement may be signed by the claims adjuster assigned to your case.

Should you accept the initial settlement offer?

In a personal injury case involving an insurance company, the answer to this question is usually no. The settlement offer may be much lower than what you believe you are owed, or it might include terms that are unfavorable to you.

How to make a settlement offer if you are the other party?

If you are the at-fault party, and you want to make a settlement offer, it is important to clearly state the amount of money you are willing to pay. You should state that this amount is an offer of judgment, meaning that you will accept the court's decision in full satisfaction of the judgment if the case goes forward.

What is a good settlement offer?

Settlement offers may vary depending on many different factors. A good offer will include a reasonable amount that takes into account the situation and your position in it. It is important to be aware that the other party may not accept your offer, so you should always make sure that it is reasonable before submitting it.

Does your settlement include expenses other than medical bills and treatment?

The first thing you should consider is what the offer includes. Sometimes, a settlement may be an attempt to get you to agree to certain terms that you will find unfavorable. Make sure to know what the settlement offer entails before accepting it, and consult an attorney if necessary.

Consider an experienced personal injury attorney

As you can see, there are many things to consider when it comes to accepting or rejecting a settlement offer.

What is a settlement letter?

A settlement letter could be a debt collector ploy to get you to make one or more partial payments on a time-barred debt, that is one whose statute of limitations has expired. The payment would restart the statute of limitations giving the collector more time to sue you for the debt 1 .

Do you have to respond to an offer you're not interested in taking?

In either case, you don’t have to respond to an offer you’re not interested in taking . Keep in mind for as long as the debt remains unpaid, creditors or their debt collectors may continue collection efforts including listing the debt on your credit report if it’s within the credit reporting time limit.

Can a creditor accept a lower settlement?

Your creditor may be willing to accept a lower settlement than the one offered in the letter. Because the door for settling the debt is already opened, you can use this opportunity to see if the creditor is willing to accept a lower payment.

Do you have to convince a creditor to settle?

Plus, you don't have to convince creditor to settle because they’ve already made that decision. Don’t get too excited about the prospect of finally being rid of this debt. Before you pay or even speak to anyone about the settlement (particularly a debt collector), you need to be sure the settlement offer is legitimate.

Can you settle a debt you can't afford to pay?

Getting a settlement offer on a debt you couldn’t afford to pay in full may be the perfect opportunity to take care of an old account. You can avoid the anxiety of initiating the conversation with the creditor. Plus, you don't have to convince creditor to settle because they’ve already made that decision.

Does settling a debt on your credit report affect your credit score?

If the debt is still being reported on your credit report, the settlement will impact your credit score. 2  There’s less benefit to settling the debts that have fallen off your credit report since the blemish of an unpaid balance no longer exists.