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Five Tips for Avoiding Settlement Traps

By Bruce Ericson and Frederick Brodie
May 29, 2012

When a lawsuit is settled, the clients cut a deal, the legal gladiators lay down their briefs, and everyone breathes a sigh of relief. But is that sigh premature? The dynamics of settlement negotiations often invite parties and their counsel to cut corners ' and to fall into traps when they wander off the path. Falling into a settlement trap may mean further litigation: a Bloomberg Law search reveals that more than 1,000 lawsuits have been brought in the past decade for breaches of settlement agreements. To craft a settlement that has staying power, and to avoid buyer's remorse, both clients and their counsel should learn how to avoid the most common settlement traps.

1. Talk to Your Adversary

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