Because of insurance and other considerations, decisions on whether to fight lawsuits in court are not made just on the merits of the case. The rising costs of fighting a case can trigger ICRMA to settle out of court. A range of factors is taken into account when ICRMA considers whether or not to settle a case, Kaddatz said: the consortium looks at the case facts, severity of the claim and even the tendencies of the court where the suit may be tried. The costs to prevail - attorneys fees, costs to hire expert witnesses, etc. - are also taken into account, he said. Once a city reaches its deductible, which can range from $200,000 to $2 million, ICRMA has the authority to force a settlement if it believes continued litigation costs would outweigh settlement costs.
Excerpted from www.pasadenastarnews.com.
