It may be Beneficial to Settle out of Court.
The term settle out of court is used to describe a scenario where the prosecuting and defending parties of a legal case come to a resolution without a lengthy trial process. There is no involvement by a judge or jury. Many civil cases such as personal injury claims are settled out of court. Depending on the circumstances of a legal case, settling out of court is usually the preferred way to resolve it.
There are several benefits to settling out of court.
Because an out of court settlement is faster, the plaintiff in a case can be compensated for damages more quickly. Settling out of court also saves much stress on all parties involved plus privacy is protected. When a case goes to trial, every statement made becomes a matter of public record and it could be that the parties prefer everything be kept private. Not going to trial also saves a bundle of money. Furthermore, parties don’t have to suffer lost wages and opportunities from needing to take time off of work and expert witnesses don’t have to be paid for their time and travel.
Sometimes, settling out of court is as simple as meeting with the other party face-to-face.
Never assume that the other party, who may have breached a contract or injured you, will not be willing to make things right. Oftentimes, the other party is a business that cannot afford to have a bad mark on its record and will be more than happy to protect its relationship with you.
Mediation and Arbitration are two other ways to Settle Out of Court.
If the two parties tried to meet using face-to-face negotiation and they did not reach a settlement then one or both of these tools may be used. These two tools are alike in many aspects with the main feature being that a neutral third party sits in on the settlement negotiations. In settlement, the third party can give advice to the other two to help them reach an agreement. When the agreement is made, it is put in writing and signed by all parties and this makes it enforceable in court. Arbitration is very similar except that the third party (called the arbiter) makes the decision somewhat like a judge would do and the other two parties have no control over that decision. Third party arbiters or advisors in mediation are not free but their cost is still less expensive than going through a full-blown trial.
Settling out of court helps to keep the court system from getting overwhelmed.
Without this way to settle a legal claim or dispute, very little would get done because high profile court cases would take up all the resources and leave those with smaller matters hanging.