Car accident cases may go to court, but most are settled out of court. Settlements are reached through discussions among the involved parties, which include you, the other driver, the insurance company of the other driver, and the lawyers for each party. Settlements save time and money and minimize the risk of losing for both parties. They provide clear compensation amounts, allowing injured plaintiffs to receive funds more quickly. However, going to court may be necessary for disputes over fault or if insurance companies offer inadequate settlements.
For help settling or taking your car accident case to court in Illinois, contact Lloyd Miller Law Group at (773) 838-8100.
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When Do Car Accident Cases Go to Court?
A car accident case can generally be resolved in two ways: through settlement or by going to court. A case usually heads to court when the parties cannot agree on a settlement during negotiations with the insurance company. This often occurs because of disputes regarding fault, disagreements on the extent of injuries, or when the insurance company provides an insufficient settlement, especially in cases involving severe injuries or significant damages.
Who Decides if Your Case Goes to Court?
You ultimately decide if your case proceeds to trial. As your car accident attorney engages in negotiations with the responsible parties, they will keep you updated on any settlement offers that arise. Your attorney will guide you on the fairness of the offer and whether it’s advisable to accept or decline it.
If the settlement discussions do not yield a satisfactory offer and your lawyer believes your case has a strong chance of winning, you can authorize them to proceed with a trial.
Settlement or Trial?
Do car accident cases require a court trial? A settlement offer represents a monetary proposal made by the defendant to the plaintiff, aiming to resolve all conflicts and release the defendant from liability before a trial. If the plaintiff accepts the offer, the court will document and enforce the settlement. Conversely, if the plaintiff declines the offer and no other agreement is reached, the case will proceed to trial. Parties often opt for settlement amounts to ensure certainty, as predicting a trial’s outcome is difficult. Settlements allow for quicker dispute resolution and help avoid the legal expenses associated with a lawsuit.
Statistics from the U.S. Department of Justice indicate that approximately 90% to 95% of personal injury lawsuits are resolved before trial. A national sample of courts showed that out of approximately 16,397 tort trials, almost 60% were related to automobile accidents. There are pros of settling vs. going to court in car accident cases. Settlements are the most frequent conclusion in civil cases because:
The High Cost of Trial
Every legal case incurs expenses, but those that escalate to court often involve much higher costs than those that settle beforehand. A law firm might need to engage experts for testimony or create exhibits, and additional direct financial burdens can be linked to the trial. However, the most significant expense is the time lawyers invest in case preparation, attending court sessions, and handling various trial-related responsibilities.
The Uncertain Outcome of a Car Accident Trial
An attorney must believe that a jury will reach a fair and rational verdict based on the evidence provided. Nonetheless, since the case ultimately rests with a judge or jury, there is always an element of uncertainty in civil trials. According to data, approximately 50% of personal injury cases that reach court end in success.
Time Issues
Although time is valuable, the lengthy nature of legal proceedings can be a source of frustration for both insurers and victims. While victims face financial challenges during this period, insurers must categorize the lawsuit as a liability until a resolution is reached. It is advantageous for both parties to settle the case swiftly and effectively.
The Motivation of Your Lawyer to Settle
Due to the expenses and unpredictability associated with a trial, both you and your attorney may be inclined to seek a settlement outside of court. Therefore, your lawyer will work diligently to achieve a favorable settlement, to save you time and extra expenses. However, your lawyer will not hesitate to pursue a trial if necessary.
The Motivation of Liable Parties to Settle
A party deemed liable understands that if a jury rules in your favor, they could incur significant financial responsibility. As a result, an insurance company or civil defense attorney may have strong incentives to settle outside of court. Typically, settlement amounts are less than what a judge or jury might grant. Consequently, a liable party may realize that settling can help them avoid trial expenses and the total amount they would ultimately owe, motivating them to choose settlement over litigation.
Factors That Determine If a Car Accident Case Will Be Settled or Litigated
When dealing with a car accident claim, you should think about the financial and time implications of legal processes. The court system can be complicated and time-consuming, often necessitating considerable financial investment. Settling disputes is generally faster and less costly than pursuing a trial, making it a more efficient option. Nevertheless, despite the high rate of settlements, there are circumstances where a car accident claim may need to go to court. Here are some common reasons why a car accident claim could escalate to trial:
The Severity of Your Injuries
The type of injuries sustained in a car accident influences whether a case settles or goes to trial, since the outcome of a trial determines who pays for medical bills after a car accident. Serious injuries often lead to court proceedings due to greater damages.
For minor types of car accident injuries like cuts or whiplash, insurance companies may quickly offer settlements that cover medical costs, allowing for a faster resolution. However, with severe injuries such as broken bones or brain damage, the stakes are higher, and insurance companies may not offer fair compensation initially, often minimizing the extent of injuries.
Your lawyer should know how to document injuries in a car accident to build a strong case. If a fair settlement isn’t offered, they may recommend filing a lawsuit despite the lengthy process.
Disagreements About Your Injuries
Injuries play a crucial role in many car accident cases. If you and the at-fault party or their insurance company have differing views on the nature or severity of your injuries, it can become more challenging to reach a settlement. This highlights the importance of seeking immediate medical attention, as it establishes a connection between your injuries and the accident. Additionally, it generates medical records that serve as evidence of the nature and extent of your injuries, along with their effects on your daily life.
Liability Disputes
Liability disputes can significantly influence whether a case proceeds to trial. Liability determines who is at fault and accountable for damages. In straightforward situations, such as when another driver runs a red light or is driving under the influence, insurance companies may settle the claim quickly to avoid the risk of losing in court. However, if there is a dispute over liability, your attorney must collect evidence, including witness statements, police reports, and expert testimonies, to create a strong case.
If the insurance company contends that you are partially or entirely at fault, they might reject your claim or propose a low settlement, requiring your lawyer to effectively challenge these assertions. In such cases, the matter may need to go to trial, where a judge or jury will assess the fault and determine compensation.
Lack of compelling evidence
When there is video evidence of an accident, reliable eyewitness accounts, or other clear proof of who is at fault, the party responsible may agree to provide fair compensation. This is because they are likely to be deemed liable in court. With such strong evidence against them, the prospect of going to trial can represent a significant financial risk. Conversely, if compelling evidence is lacking, the liable party’s chances of getting found liable decrease, making them more likely to risk going to trial to potentially avoid paying compensation.
Multiple Parties Are Involved
Car accidents can often be complex, especially when multiple vehicles, drivers, and legal representatives are involved. The situation can become particularly challenging with several insurance companies trying to blame each other to avoid facing responsibility.
In incidents with multiple parties, determining fault and the degree of liability becomes a much more difficult task. Insurance companies might be reluctant to settle if they feel the liability of their insured party is relatively minor compared to others involved.
Navigating the intricacies of liability and clarifying the financial responsibilities of each party can require significant effort. This process may include detailed investigations and prolonged negotiations between insurers and legal teams. In such instances, a trial might be necessary to determine each party’s share of fault and financial responsibilities.
The Insurer Acted in Bad Faith
In Illinois, insurance companies are legally obligated to manage claims with fairness and integrity, which includes conducting timely investigations and maintaining honest communication. However, some insurers may delay claims, deny legitimate benefits, or engage in deceptive practices. If an insurer behaves in bad faith, they could face legal consequences.
In some instances, you might consider pursuing a separate lawsuit against the insurer for bad faith, with the aim of holding them accountable and seeking additional compensation. Although this is not a common route, such cases typically go to trial, where you would need to demonstrate the insurer’s failure to fulfill their duties and that they should face financial penalties.
Insurance Policy Limits
The limits of an insurance policy can impact whether your car accident claim resolves through a settlement or goes to trial. Every car insurance policy outlines the maximum amount it will pay for damages and injuries.
If your damages surpass the at-fault driver’s policy limits, you might need to explore other options for compensation, such as utilizing your own uninsured/underinsured motorist coverage or pursuing a personal injury lawsuit against the other driver.
Even if you choose to file a lawsuit, there is still an opportunity to negotiate a settlement before the case goes to trial. However, if an equitable agreement cannot be reached, your case may move forward to court, where a judge or jury will determine the compensation amount.
A Reasonable Settlement Can’t Be Reached
Despite everyone’s best intentions, there may be instances where resolving your car accident case without going to court becomes impossible. You might encounter a situation where your perception of a fair settlement differs from that of the insurance company.
If you feel that the insurer’s offers are insufficient and fail to cover all your losses, and they remain inflexible in negotiations, you may file a lawsuit as your sole option.
Taking your case to court lets you present your circumstances to an impartial judge or jury. Although this approach carries some risks, if your case is compelling, you could secure a larger award than the insurer is willing to offer in a settlement.
Negotiations tend to progress more effectively when the following conditions are met:
- Both parties acknowledge who is financially accountable for the car accident.
- Both parties engage in negotiations with a sincere desire to achieve a just financial resolution.
- The plaintiff’s attorney clearly presents their client’s injuries and damages, supported by evidence.
- Both parties have comparable assessments of the plaintiff’s damages costs.
Even with these favorable conditions, securing a fair financial recovery can be challenging. Having a skilled lawyer advocate for you can improve your chances of obtaining a fair settlement.
A car accident lawyer can help you evaluate whether to accept a settlement offer or pursue litigation. Contact us at Lloyd Miller Law Group for a personal injury attorney who can assess your situation and guide your decision.
