Employers DON’T just ROLL OVER!

April 13, 2009 · Filed Under General Legal Information, Labor & Employment · Comment 

What I find amazing is the number of people who believe that companies or employers will simply ROLL OVER and pay money when faced with the possibility of a discrimination law suit!

Part of the problem that most people don’t understand is that when a Plaintiff is deciding to sue, the Plaintiff’s decision is usually motivated by emotion and finances based on a perceived (or actual) damage that they have sustained.   However, the decision to settle or fight the law suit on the part of the Employer or Company (i.e. Defendant) may be based on a purely Business decision.  The decision may be guided by the evidence relied upon, the likelihood of the company losing, the cost to litigate the case v. the damages involved or the company’s position on these types of cases.

1) The evidence relied upon. Some employers will first take a hard look at the evidence involved.  If the evidence appears to be strongly in favor of the plaintiff, employers may make the decision that it’s to their advantage to settle the case and move forward.

2) The likelihood of the company losing. Going to court is like rolling the dice.  No matter how much of a streak you have going, you can always roll an unlucky hand.   If a company feels that they have a pretty good chance of losing, they may not fight a law suit.

3) The cost to litigate the case v. the damages involved. Recognize this, most Plaintiff’s may be able to hire an attorney on a contingency or partial contingency basis.  However, when an employer gets an attorney, they may hire a heavy weight law firm to represent them.   Getting a heavyweight firm may mean paying between $250 to $500 per hour for an attorney to review the case, evaluate, conduct discovery, conduct depositions, prepare for trial, and go to trial.  And trust me, everything I just listed is about a good 20 to 30 hours worth at a minimum (At $500 per hour, that’s $15000 right out the gate).   So if a company can settle a case without having to pay a HUGE amount in attorney fees or risk the possibility of having to pay their attorney, the Plaintiff, and the Plaintiff’s attorney, they will settle and move on.

4) The company’s position on these types of cases. Some employees don’t realize that some companies take a DIE HARD position against law suits.  They don’t care if you’re fighting for $300 or $300,000, they will fight everyone “TOOTH and NAIL”!

So many times, plaintiffs believe what their peers tell them about a company.  They compare their case with others who have been successful and get excited by the possibility of getting a quick settlement from a supposedly “Soft” employer.  Just remember, with the employer, it’s ALL about BUSINESS, Baby, so NEVER take for granted that an employer will just simply ROLL OVER for no reason!