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Understanding a settlement offer after a motor vehicle accident

On Behalf of | Jan 31, 2022 | Personal Injury |

When vehicles collide on Lake Oswego roads, people may suffer severe injuries, losses of property, and other damages. They may incur bills from hospitals and other sources as they begin to put their lives back together after their accidents.

For some, dealing with the financial fallout of a car accidents can be crippling, and when they receive an offer of settlement, they may jump at the chance to secure money to begin dealing with their bills. Settlements serve a purpose in some personal injury cases, but all victims should understand what settlements accomplish before signing agreements to such effects.

What is a settlement?

A settlement is a legal contract between parties. Settlements are used in many legal contexts, such as business agreements and personal injury cases. When two parties agree to settle a legal matter, they agree to resolve their differences for a price. The aggrieved party agrees to accept compensation from the responsible party for their losses, and in exchange the aggrieved party agrees to waive their right to litigation their claims against the responsible party in the future.

Who benefits from a settlement?

The important thing for victims of personal injury accidents to recognize is that once a settlement is signed, they may lose their right to sue for more damages later on if their settlement payout is insufficient to cover their costs. A settlement may provide quick financial relief, but if it is not enough to fully compensate a victim for their losses, the victim may be prevented from pursuing more.

Settlements serve some personal injury victims. Before agreeing to one, victims can discuss their rights and options with trusted local attorneys.

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