When you find yourself pursuing a personal injury claim, the nuances of the legal process can become challenging to follow. One of the biggest decisions you will find yourself faced with is whether or not you should settle out of court or take your case to trial. While economics vs. non-economic damages in personal injury can be addressed through mediation, arbitration, or litigation, settling can often feel like the safer and quicker option. However, it doesn’t always provide the compensation you may believe you deserve. Going to trial, on the other hand, can be a good way to fight for justice and secure a higher payout.
Something to keep in mind, though, is that there are significant financial risks that come with taking a case to trial. From court costs to the unpredictability of jury decisions, litigation can strain your finances, time, and emotional energy above all else. Explore the key financial implications of taking your personal injury case to trial to learn how to weigh the risks against the potential rewards.
Breaking Down the Costs of a Trial
Taking a case to trial will involve a range of expenses that can quickly add up, even for those with an expansive budget. These costs go beyond what most people expect which is why they often come as a surprise and they can pose a challenge even when you have a strong legal team. Most prominently, these costs include:
- Legal Fees: Many personal injury lawyers choose to work on a contingency fee basis, meaning they only get paid of you win or settle the case. While this can reduce your upfront cost, they often take 30-40% of your award, a number which can increase if more time and effort is required for your case in trial.
- Court Costs: In addition to legal fees, trials also come with administrative expenses such as filing fees, deposition costs, and payments for any expert witnesses. This final expense can be quite costly as specialists may charge thousands of dollars for their analysis and appearance in court.
- Money in the Form of Time: Finally, trials can take weeks, months, or years to conclude and you may miss work, incur additional expenses, or face mountain bills during this period of time, all of which can add to your financial stresses.
All of the above financial burdens can make trials a daunting prospect for many plaintiffs, even for those who believe they have a cut-and-dry case.
The Role of Uncertain Trial Outcomes
Perhaps the single biggest risk of choosing to take a case to court is the uncertainty of the verdict. Unlike a negotiated settlement where you know what you will get, a trial places the decision into the hands of a jury or a judge. The former’s decisions can be particularly unpredictable as even with compelling evidence jurors may interpret facts differently than intended. A jury might sympathize with a defendant’s life story, for instance, which can lead to a lower award or none at all.
This unpredictability makes going to trial an inherently risky prospect even if you are confident you will win. There is never a guarantee that a litigation outcome will go in your favor.
The Risk of Reduced Compensation
Another major financial risk of taking your case to court is the fact that you might receive less compensation than you are initially offered in a settlement. Insurance companies tend to use settlement negotiations as a way to minimize their financial liability but while their offer might seem low, they provide a level of certainty. When you choose to take your case to trial you gamble with your potential payout. Assuming the jury or judge sides with the defense, you might walk away with less than the settlement offer you had or perhaps nothing at all.
If you are offered $50,000 by an insurance company, for instance, but believe you are owed $100,000, you may choose to take the case to court. However, if the jury sides with the defendant and you are awarded $30,000, you will have lost time, money, and the prospect of better compensation.
Hidden Financial Strains of Litigation
The financial risks of going to court go beyond the aforementioned direct costs. Many plaintiffs end up facing hidden financial challenges that only add to their strain. The most prominent of these include:
- Stress and Emotional Costs: Trials are naturally an emotionally taxing process since you need to relive the details of an accident, sit through depositions, and wait for a verdict. This can take a major toll on your mental health and also affect your family, relationships, and quality of life.
- Interim Expenses: When you are waiting for your case to resolve, you will also still need to take care of everyday expenses like rent, utilities, and medical bills which can be harder if you are unable to work due to the incident.
The above-added costs underscore why so many people choose to settle rather than face the prolonged financial battle and emotional burden of a full-on trial.
When You Should Go to Trial
Despite the risks described above, there are certain situations where going to trial may be your best path forward. For instance, if the defendant’s settlement offer is so low or they refuse to admit any liability, a trial can be an opportunity for you to seek personal and financial justice. In cases involving severe injuries or signficant financial losses, a trial may also be warranted as the potential payout could exceed any settlement offer.
The key will be to weigh the risks and benefits carefully. Consult with an experienced personal injury attorney as they can help assess the strength of your case and advise whether going to trial is the right choice or not.
Weigh the risks and benefits of litigation
Taking a personal injury case to trial is a high-stakes decision that should be made with the help of an accredited personal injury lawyer. From legal to fees to unpredictably jury verdicts, the decision of whether to go to trial or not requires careful consideration. In certain cases, the potential rewards of a trial may outweigh the risks, particularly if the settlement offer falls short. Speak with your attorney to see what the best path forward for your case is.
