Settlement FAQs

can i be sued after settlement

by Prof. Kole Johns Published 2 years ago Updated 2 years ago
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When Can You File Suit After Settling? The general rule is that you cannot file suit after settling your injury claim. However, there are exceptions. For example, you may be able to still sue after settling if you can prove that the defendant acted in a fraudulent or coercive manner.

When can you sue after a lawsuit settlement?

When Can You Sue After a Settlement? In most situations, once you accept a settlement you sign a liability release, or agreement, that states you are receiving a certain amount of compensation and relinquishing your right to further pursue a claim.

Can I sue the driver's insurance company after accepting a settlement?

People can sue to try to get money from the driver's insurance company. However, if they've already accepted a settlement, things can go downhill in a hurry. Settlement agreements are meant to wrap things up.

Can a debt collection lawsuit be settled before going to trial?

And it isn’t uncommon for lawsuits to settle before going to trial, especially if the amount of money in dispute is not a huge sum. A debt collection lawsuit can potentially be resolved with debt settlement. You can do this on your own or hire a debt settlement attorney to help.

Can I file a lawsuit against someone for the same injury?

However, sometimes settlements say you agree to give up all potential claims against anyone for the injury you suffered. This would prohibit you from filing a lawsuit against another party over the same injury.

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Can you sue the same company twice?

No. If you settled, you executed a release. If you went to trial it is res judicata.

Can someone sue you for a car accident if you have insurance in California?

Because California is a tort-based insurance system, if you cause an accident, the injured party can file a lawsuit against you and seek compensation for the damages that they sustained for any amounts above those covered by your insurance.

Can someone sue you after insurance pays Texas?

Many people involved in car accidents feel a sense of relief when the insurance settlement is paid out, as they perceive this to mean there is no possibility of further litigation. Though this is typically true, it is still possible for someone to sue you even after insurance pays.

What happens after a claim is settled?

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 long after a car accident can you sue in CA?

You can sue for injuries from a car accident within six months of the accident, according to the California statute of limitations. You have three years to file for property damage.

What is the average payout for a rear end collision?

In most rear end accidents, the person who is rear ended is not badly injured. And in many cases where he or she is seriously hurt, there is limited insurance available. The average rear end car accident settlement is likely under $15,000.

What happens if you win a lawsuit and they can't pay?

The sheriff or constable will bring you a copy of the execution and take your car or put a lien on your house. If the creditor wants you to pay them money, they can take you back to court on a Supplemental Process to “garnish your wages.” They can take money out of your paycheck before you get paid.

What happens if I lose my personal injury claim?

If you don't win your claim and receive no compensation, the defendant will seek to recover their costs from you. These, and any other costs payable, would be paid by an After the Event (ATE) insurance policy.

What happens if you lose a lawsuit and can't pay in Texas?

If you are sued and can't pay, the creditor can get a judgment in court against you for the money you owe, plus interest. Being “judgment proof” means that your property and income can't be seized by creditors, because it is “exempt” by law from the creditor's claims.

Do Lawyers lie about settlements?

Lawyers lying about settlements in trial or providing a false statement is not unheard of. However, according to rules of professional conduct, anything said in a settlement conference is confidential and inadmissible during trials.

How do lawyers get paid from a settlement?

A contingency fee is a fixed percentage fee agreed upon by the client and the attorney before engaging in the court case or settlement negotiation. The percentage is taken from the final settlement amount, not before financial compensation is reached.

Can my lawyer cash my settlement check?

While your lawyer cannot release your settlement check until they resolve liens and bills associated with your case, it's usually best to be patient so you don't end up paying more than necessary.

Is California a no-fault state for car accidents?

One of the first thoughts that many drivers have surrounding accidents is whether their state has a no-fault policy regarding crashes. California is one of 38 states that does not subscribe to a no-fault policy. This means whoever is responsible for the accident will be liable to pay for the damages.

How long does an insurance company have to settle a claim in California?

within 85 daysA: California state law requires insurance carriers to settle claims within 85 days after the date of filing. Other deadlines come into play when contacting claimants and completing other steps in the auto insurance claim process.

Who determines fault in an auto accident California?

Police Report Can Determine Fault The officer on the scene will assess the damage and write a police report about what happened. This report may include information that your attorney can use in your favor, such as details that you may have overlooked or wording that implies fault to one of the parties.

What does it mean that California is a no-fault state?

In a no-fault state, a driver who is injured in an auto accident simply has to file a claim for compensation for their injuries. Once filed, the other driver's insurance provider must pay the claim. It doesn't matter whether the injured driver is the victim in the accident or the cause.

When You Can File a Lawsuit After a Settlement Offer

In some rare exceptions, you may still be able to file a lawsuit after agreeing to a settlement. This includes:

What to Do Before Accepting a Settlement Offer

The implications of agreeing to a liability release as part of a settlement can be significant. For instance, if you discover that your injuries were worse than you initially thought, it may be too late. That’s why it’s so important that you take all the necessary steps to protect your rights before signing the waiver. This includes:

What to do if you have been offered a settlement?

If you have been offered a settlement for your accident claim, it is important that you speak to an experienced personal injury attorney before signing a release of liability. A skilled lawyer from Phillips Law Group can ensure that you understand the full extent of your injuries and the possible ramifications of signing a release.

How to maximize the value of a settlement offer?

Because the potential stakes of accepting a settlement offer are so high, there are certain steps you should take to maximize the value of your claim: Seek medical attention – Get medical treatment as soon as possible after the accident to determine the full extent of your injuries.

Why do people underestimate the value of their injury?

Consider the long-term consequences of your injury – Many personal injury victims underestimate the value of their claim because they fail to consider the long-term consequences of their injury. They may not be able to return to work after a serious injury, or they may experience pain and suffering that interferes with other aspects of their claim. An economic expert can calculate your expected earnings before and after the accident so that you can pursue compensation for the difference.

Can you sue someone else for a defective product in Arizona?

For example, in a motor vehicle accident, there may be two motorists at fault for the accident or you later discovered that a defective product could have contributed to the accident. When you release the claim against one defendant, you still have the right to sue anyone else who shared fault in the accident as long as it is done before Arizona’s two-year statute of limitations expires.

Can you sue after a settlement?

You usually cannot sue after reaching a settlement, but there are some exceptions to this rule. If you were injured in an accident and are being offered a settlement, it is important to contact an experienced personal injury lawyer in Phoenix for legal help.

Can you reopen a settlement offer if it was fraud?

If the settlement offer was the result of fraud or bad faith, you may be able to reopen the claim if fraud is later discovered. However, this is very difficult to prove. You may want to consider consulting with an experienced lawyer if you suspect fraud may have been involved.

Can you take legal action against a settlement?

The language may state that you are accepting the settlement funds as full satisfaction of all claims. If you sign this release, you typically cannot take further legal action against the defendant or insurance company. An attorney can help you understand the terms you are agreeing to.

What If You Got Bad Legal Advice?

Unfortunately, arguing that you entered the settlement agreement because of bad legal advice typically won’t be enough to get you out of a mutual release agreement.

Is a settlement agreement air tight?

Certainly, if your settlement agreement was prepared by a large insurance company , the language was likely drafted to be “airtight.”

Can you file a lawsuit against the same person based on the same accident?

While the settlement agreement will prohibit you from filing another claim or lawsuit based on the same accident or set of facts, it won’t prohibit you from making a claim against the same person / company based on an entirely separate incident.

When Can I NOT Sue After Accepting an Insurance Settlement?

After the release of liability document is signed, you can’t reopen the claim against the at-fault party, even if you didn’t receive financial compensation for your injuries or for your claim.

What Should I Do Before I Accept a Settlement?

Insurance companies will often contact someone soon after an accident offering a settlement. They may say that they want to resolve the issue quickly or even turn it around like they know you are struggling and are seeking to help. However, insurance companies are looking out for their profits and not your well-being. Before you accept any insurance settlement or sign a release of liability document, make sure you do the following:

What does the victim need to file a lawsuit?

The victim will need a legally solid reason to file the lawsuit despite the agreement, or else he could bring on the wrath of a judge. All the defense needs to do is tell the likely unaware judge about the settlement.

Why do insurance adjusters include language in their settlements?

They include language in them so the victim agrees not to ask for more money for the accident -- ever. It's their way of getting it in print that there will be no future lawsuits.

Can you sue someone for a car accident?

It's a simple truth that car accidents are commonly followed by lawsuits. People can sue to try to get money from the driver's insurance company. However, if they've already accepted a settlement, things can go downhill in a hurry. Settlement agreements are meant to wrap things up.

Can you sue someone after settling with their insurance company?

There aren't any restrictions when you decide to sue someone after settling with their insurance company, but it's pretty difficult to win in court after the settlement process unless extenuating circumstances occur.

Is a settlement agreement a good deal?

Even though the settlement agreement couldn't be more clear, some people decide it's not a good deal. Maybe the person needs more money to pay for doctor visits related to the accident. Sometimes, the victim will be convinced she could have gotten more if she would have played hardball or hired one of those television attorneys. Regardless of the circumstances, that person can ignore the settlement and sue for extra money.

Can a person file a lawsuit?

Some people file suits on their own and others use lawyers because they know their way around the court system. However, just because a person files a lawsuit doesn't mean he'll win. In this case, there's a big risk involved thanks to that settlement deal.

Can you sue for additional compensation after settlement?

When someone chooses to later sue on the same claim, the insurance company and the legal system will all get involved very quickly. Generally, it is unwise to sue for additional compensation after a settlement has been reached , but there are certain circumstances that allow a plaintiff to take such action.

What Happens After Signing a Settlement?

The insurance company often presents the first settlement offer. If the injury victim hires an experienced attorney, he or she will likely negotiate with the insurance company for more compensation. (Insurance companies often make lowball offers at the beginning of the claims process.)

Can you seek more compensation for a settlement?

Once you agree to a settlement, you likely cannot seek more compensation for your damages. That is why it is so important to make sure any settlement you sign provides fair compensation for damages, particularly damages you may suffer in the future or on an ongoing basis.

How long can a creditor file a lawsuit against you?

The length of the statute of limitations varies by state and typically falls between 3 – 10 years from the date of the first defaulted payment or the date of the last payment received, depending on the approach taken by each state.

What happens if you settle debt?

This negative reporting will likely decrease your credit score, making future borrowing more costly in the form of higher interest rates and annual fees on credit cards.

What is a collection lawsuit?

A debt collection lawsuit commences when the law firm that represents your creditor files a case against you in civil court. You will be served a court summons and a copy of the complaint, which is the legal document that spells out the amount your creditor believes you owe and the reasons why they believe you are accountable for this debt.

What happens if you miss a payment?

Chances are that after the months of missed payments stack up, the original creditor will cut its losses and sell the debt to a debt collection agency. Your account will read as “charged-off” on your credit report, which may decrease your credit score.

What happens if you miss a payment on a credit card?

For example, as soon as you miss a credit card payment, the credit card company will begin calling the phone number on file.

Can you settle debt after a lawsuit?

Debts can be resolved in a number of ways, even after you have been served with a lawsuit. Debt settlement is an option worth exploring, regardless of where a debt is in the collection cycle. There’s also the option to pay the debt in full by setting up a payment plan with your creditor.

Can you be sued for unpaid debt?

If all collection activity fails and you continue to default, a debt collection lawsuit can be filed against you. Unpaid debt doesn’t just go away. It continues to be reported on your credit report, harming your credit score, and leaving you at risk of potentially being sued.

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The General Rule: No, You Can’T Still Sue After A Settlement.

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In the vast majority of cases, mutual release agreements are drafted carefully and will be strictly enforced. There are very few situations in which an injured victim can file a claim after a settlement. Do you have any options, then? That will depend on the specific circumstances of your situation. Below, we look at the narrow excepti…
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Challenges Based on The Terms of The Settlement Agreement

  • Most settlement agreements are written with a great deal of forethought and precision, using language that has been upheld in California in the past. Certainly, if your settlement agreement was prepared by a large insurance company, the language was likely drafted to be “airtight.” Occasionally, however, a settlement agreement will be written in a way that is sloppy, vague, imp…
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What If You Got Bad Legal Advice?

  • Unfortunately, arguing that you entered the settlement agreement because of bad legal advice typically won’t be enough to get you out of a mutual release agreement. Depending on the circumstances, you might have a claim against your former attorney(s) for professional malpractice. However, such a claim generally requires more than just a feeling that you should h…
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Settlement in Bad Faith

  • A court may be willing to strike down your settlement agreement if you can prove that the terms were arrived at in bad faith. Examples might include any evidence that the insurance company or the defendant engaged in: 1. Fraud 2. Coercion 3. Duress 4. Threats These situations are rare, and proving bad faith after the fact can be extremely difficult. It isn’t enough merely to argue that yo…
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Filing A New Claim Or Lawsuit Against The Defendant

  • While the settlement agreement will prohibit you from filing another claim or lawsuit based on the same accident or set of facts, it won’t prohibit you from making a claim against the same person / company based on an entirely separate incident. For example, if Bob runs a red light in April and hits Susan’s car, causing injuries, Susan can seek a claim against Bob. Let’s imagine that Susan …
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Filing A Separate Claim Or Lawsuit Against A Third Party

  • Continuing with our example from the previous section, let’s imagine that there were three drivers involved in the April auto accident: Susan, Bob, and Thomas. Susan may have settled her claim again Bob, but that won’t keep her from seeking compensation from Thomas (even if Thomas also has an Oops Co. insurance policy). If you find yourself asking, “Can I still sue after a settlem…
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This Is Why You Need to Be Very Careful About Signing A Settlement Agreement

  • Susan’s situation is not uncommon. Too many accident victims have entered into a settlement agreement only to later learn that their medical bills or other damages are more extensive than they expected (or that they are otherwise entitled to more financial compensation than they realized). Don’t make that mistake. Before you enter into a settlement agreement and forever los…
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The Law Offices of Mickey Fine Will Fight to Get You The Terms You deserve.

  • Don’t face the insurance companieson your own. A Bakersfield personal injury lawyer at The Law Offices of Mickey Fine can protect your interests throughout the claims process. We will fight for a full and fair settlement of your claim. And while we have been able to successfully resolve the majority of our clients’ claims by way of private settlement, if going to court is what it takes to ge…
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