Car accident claims do not often go to court. The American Bar Association (ABA) states that few civil cases are in court. Instead, parties to a lawsuit usually agree to settle before a trial becomes necessary.
Plaintiffs and defendants prefer to settle rather than go to court because this can save time and money and reduce the risk of an unfavorable outcome.
However, there are some situations when going to court may be the only option; this situation arises, for example, when there is a dispute over the fault of the accident or when the insurance company declines to provide an adequate settlement.
In these cases, you need a car accident lawyer who can file a lawsuit and present your evidence to a judge or jury. The Bureau of Justice Statistics estimates that around three to four percent of tort cases go to court.
Get A Free Consultation Today!
Why Most Car Accident Claims are Settled Out of Court
When faced with a car accident claim, it's important to consider the cost and time efficiency of legal proceedings. The court system can be lengthy, often requiring substantial financial resources.
Legal fees, court costs, and expenses associated with preparing a case for trial, such as hiring expert witnesses and conducting extensive discovery, can add up quickly. Furthermore, the duration of a trial can be unpredictable, potentially stretching over months or even years.
This time and financial investment are significant considerations for both plaintiffs and defendants. The desire to avoid these burdens often leads parties to seek alternative resolutions, such as settlements or mediation.
Reaching settlements is often quicker and involves fewer costs than going through a trial, making them a more efficient way to resolve disputes.
Risk Management in Trials
The unpredictable nature of trials is another factor in deciding whether to settle a car accident claim out of court. In a trial, a judge or jury determines the outcome by considering the evidence and arguments presented by both sides.
This process inherently carries a level of uncertainty. The decision-makers might interpret the evidence differently than anticipated, or unforeseen legal issues may arise during the trial, affecting the outcome.
Settling out of court allows both parties to have more control over the resolution of the claim. It eliminates the unpredictability of a trial verdict and allows both sides to negotiate mutually acceptable terms.
You may want to settle in cases where the potential damages are substantial, and the risk of an unfavorable trial outcome is too great to bear.
Confidentiality in Court Trials
Confidentiality is another factor influencing the decision to settle car accident claims outside court. Court trials are public matters, and the case details, including sensitive personal and financial information, become part of the public record. Individuals and companies concerned about privacy or protecting their reputations may not want this exposure.
Settling a claim outside of court typically allows for greater confidentiality. Settlement agreements can include non-disclosure clauses, ensuring that the details of the case and the settlement amount remain private. This aspect particularly appeals to parties who prefer to handle their legal matters discretely and avoid public scrutiny.
Insurance Company Policies
Insurance companies play a significant role in the resolution of car accident claims. Generally, insurance companies are inclined to settle claims quickly and efficiently. This approach often stems from the desire to steer clear of the uncertainties and expenses linked to going to trial.
Settling claims can be more cost-effective for insurance companies, allowing them to manage their risks better and control their legal expenses.
Also, insurance companies have experience negotiating settlements and often have established procedures and policies for resolving claims. This experience can be advantageous in reaching an acceptable settlement for all parties involved without the need for a lengthy and costly trial.
When Do Car Accident Claims Go to Court?
Despite the high settlement rate, there are circumstances where a car accident claim might proceed to trial:
Disputes Over Fault
Determining who is at fault is a critical step in resolving the case of car accident claims. However, there are instances where the parties strongly dispute the fault and have conflicting accounts or evidence regarding who caused the accident.
In such situations, negotiations can reach a standstill because each party firmly believes in who bears the responsibility for the accident.
A court trial may become necessary when fault is a major point of contention. The judicial process allows for thoroughly examining evidence, including witness testimonies, accident reconstructions, and professional opinions. A judge or jury can then evaluate this evidence and decide about fault based on the legal standards of negligence and liability.
The court's decision in these instances provides a definitive resolution to the dispute, which might not be achievable through out-of-court negotiations.
Inadequate Settlement Offers
Another scenario that might lead a car accident claim into court is when the settlement offer made by the insurance company does not adequately compensate for the damages and losses incurred by the injured party. These offers sometimes fall short of covering all the expenses and impacts of the accident, such as medical bills, lost income, pain and suffering, and other related costs.
In such cases, if the insurance company is unwilling to negotiate a fairer settlement, the injured party may decide that going to trial is the best option to seek adequate compensation.
A trial allows the plaintiff to present a comprehensive account of their damages and argue for the full value of their claim. The court can award a settlement that reflects the true extent of the losses, which might be significantly higher than the insurance company initially offered.
Complicated Legal or Factual Issues
Car accident cases can sometimes involve complex legal or factual issues that are beyond the scope of simple negotiation. These complexities may include disputes over the interpretation of law, the application of legal standards, or intricate factual scenarios that require detailed analysis.
Cases with such complexities often benefit from the formal judicial process, where a judge or jury can closely examine the details and nuances of the law and the facts presented.
The court addresses these complexities through its legal experience and the procedural structure of a trial, facilitating a comprehensive exploration of the issues at hand. This detailed examination helps reach a resolution grounded in legal principles and factual accuracy.
High-Value Claims
In car accident cases involving significant sums of money, the stakes are naturally higher for all parties involved. High-value claims often arise from severe injuries, substantial loss of income, or extensive property damage.
In such cases, the compensation sought can be substantial, and the insurance company may be reluctant to agree to a large payout without a fight.
The likelihood of these cases going to court is higher as both parties may feel more compelled to defend their positions vigorously. For the plaintiff, there is a need to secure enough compensation to cover extensive losses. For the defendant or insurance company, there is a strong incentive to minimize the financial impact.
In court, the parties can present their case in detail, including the justification for the amount of compensation claimed.
Understanding the Court Process in Car Accident Claims
If a car accident claim goes to court, it will generally follow this process:
Filing a Lawsuit
The first step in taking a car accident claim to court is filing a lawsuit. This process begins with the preparation and filing of a legal complaint. The complaint is a formal document that outlines the plaintiff's allegations against the defendant.
It typically includes details about the accident, the injuries or damages sustained, and the legal basis for holding the defendant responsible. The plaintiff must file the complaint in the relevant court, depending on where the accident occurred or where the defendant resides.
After filing the lawsuit, the court issues a summons to the defendant, informing them of the lawsuit and requiring them to respond. The defendant has a specific period, usually 20 to 30 days, to file an answer to the complaint. This answer either admits or denies the allegations and can include any defenses they wish to assert.
Discovery Phase
The parties move into the discovery phase after filing the lawsuit and exchanging initial pleadings. Discovery is a part of the legal process where both parties gather and exchange information relevant to the case.
This phase aims to eliminate surprises and clarify the details of the lawsuit. It allows each party to prepare their legal arguments based on the facts of the case.
The discovery process can include:
- Conducting depositions involves questioning witnesses under oath.
- Answering written questions under oath, known as interrogatories, is part of the process.
- Requests for the production of documents.
- Requests for admissions.
The information gathered during discovery forms the foundation for the arguments and strategies used at trial.
Trial Phase
During the trial phase, a judge or jury hears the presentation of the case, who will decide the outcome based on the evidence and arguments presented by both sides. The trial begins with opening statements from each party, where they outline their case and what they intend to prove.
The plaintiff then presents their case first, calling witnesses and introducing evidence. The defendant has the opportunity to cross-examine the plaintiff's witnesses. Once the plaintiff rests their case, the defendant presents their case, calling witnesses and introducing evidence, with the plaintiff having the opportunity to cross-examine.
After both sides have presented their evidence, they make closing arguments. In these arguments, each party summarizes the evidence and tries to persuade the judge or jury to decide in their favor. The judge or jury then deliberates and makes a decision, known as a verdict, based on the evidence and the law.
Judgment and Appeals
Following the conclusion of the trial and the rendering of a verdict, the judge will enter a judgment based on the verdict. This judgment is the formal decision of the court regarding the legal claims and defenses of the parties.
If one of the parties is dissatisfied with the verdict or believes that legal errors occurred during the trial, they may file an appeal. An appeal is not a new trial but a request for a higher court to review certain aspects of the trial court's decision for legal errors. The appellate court reviews the record of the trial court proceedings and determines whether to uphold, reverse, or modify the lower court's decision.
The appeals process can be lengthy and involves complex legal arguments focusing on whether the trial was conducted properly and by the law. The outcome of an appeal can affirm the trial court's decision, lead to a retrial, or, in some cases, result in a different resolution.
Factors Influencing the Decision to Go to Court
One major factor influencing the decision to go to court is the severity of injuries. More severe injuries typically result in larger claims due to increased medical expenses, potential for long-term or permanent disability, loss of income, and the need for ongoing care. These factors contribute to a higher valuation of the claim.
In cases with more severe injuries, there's often more at stake for the injured party and the insurance company. As the claim value increases, so does the likelihood of disputes over the compensation amount.
Insurance companies may scrutinize these claims more closely, leading to disagreements over the extent of injuries and the appropriate compensation. Consequently, when negotiations fail to yield an agreeable settlement, the case may progress to trial, where a judge or jury can assess the full impact of the injuries.
Available Evidence
The amount and quality of evidence available in a car accident case significantly impact the decision to settle or proceed to trial. Strong, clear evidence supporting a claim or defense can be decisive in negotiations. If the evidence favors one party, the other party may be more inclined to settle to avoid the risk of losing at trial.
Conversely, if the evidence is ambiguous or disputed, or there are gaps in the information available, it can lead to uncertainty about the outcome of a trial. In such scenarios, both parties may find it more challenging to predict the likelihood of success in court, leading to more persistent ions for a settlement or a decision to let a judge or jury resolve the dispute.
Jurisdictional Variances
The likelihood of a car accident case going to court can vary depending on the state where the accident occurred. Different states have different legal climates and laws that can influence the process of a car accident claim. For example, some states may have more plaintiff-friendly laws and court systems, which can encourage going to trial.
Other states might have legal environments that favor pre-trial settlements or alternative dispute resolution methods. Additionally, the statute of limitations for filing a lawsuit, rules on the admissibility of evidence, and the presence of caps on damages in certain states also play a role in determining whether a case is more likely to settle or go to trial.
Contact a Lawyer to Learn More About Whether to Take Your Case to Court
While most car accident claims settle out of court, it's always advisable to seek legal counsel for these claims, whether they end in a settlement or proceed to court. Your attorney will guide, advocate, and advise you through this often challenging process; safeguarding your rights and interests at every step is crucial.
Remember, every car accident case is unique. Consult a knowledgeable personal injury attorney who can assess your situation and help you decide whether to settle or go to court.
Gabriel Levin - Owner/Founder
Gabriel Levin is a highly experienced and credible attorney with over 10 years of practice in Pennsylvania. Known for his tenacity, he has represented clients in a wide range of civil matters, trying hundreds of cases. He prepares each case as if it will go to trial, ensuring meticulous attention to detail.
Unlike many firms that delegate tasks, Levin personally handles every aspect of a case and maintains open communication with clients throughout. He has secured millions in compensation, making him a reliable choice for those seeking legal representation.
Learn More