High-Low Agreement, also known as a hilo settlement, refers to a settlement where the defendant agrees to pay the plaintiff a minimum amount of money, and the plaintiff agrees to accept a maximum amount, regardless of the trial outcome.
A misdemeanor is a type of crime that is less serious than a felony and is typically punished by a fine, penalty, forfeiture, or confinement in a place other than prison. Misdemeanors can vary in severity, with some carrying more severe penalties than others. In certain jurisdictions, conduct that reaches the level of a serious misdemeanor can be charged as either a felony or a misdemeanor.
A high-low agreement, also known as a hilo settlement, is a resolution between a defendant and a plaintiff. In this agreement, the defendant commits to paying the plaintiff a minimum sum of money, while the plaintiff agrees to accept a maximum amount, regardless of the trial’s outcome. For instance, in a personal injury case, the defendant may agree to pay the plaintiff a minimum of $50,000 and a maximum of $100,000. If the jury awards the plaintiff less than $50,000, the defendant will pay the minimum amount. Conversely, if the jury awards the plaintiff more than $100,000, the defendant will pay the maximum amount.
Misdemeanors are crimes that are less severe than felonies. They typically result in fines, penalties, forfeitures, or confinement in places other than prisons, such as county jails. Misdemeanors are also referred to as minor crimes or summary offences. Examples of misdemeanors include traffic violations, disorderly conduct, and petty theft. These offences are less grave than felonies, which carry the punishment of imprisonment in state or federal prisons. Some misdemeanors, such as gross misdemeanors and serious misdemeanors, have harsher penalties compared to other misdemeanors. In certain cases, conduct that reaches the level of a serious misdemeanor can be charged as either a felony or a misdemeanor.
A high-low agreement is a legal arrangement between parties involved in a lawsuit to establish a predetermined range of potential damages. It sets a minimum and maximum amount that the plaintiff can receive, regardless of the actual outcome of the case.
Once a high-low agreement is reached, it means that the plaintiff is guaranteed to receive at least the agreed minimum amount if they win the case. Conversely, if the plaintiff loses the case, they will receive no more than the agreed maximum amount. This provides both parties with some certainty and limits their potential financial exposure.
Parties may choose to enter into a high-low agreement to mitigate the risks associated with a trial. It allows them to avoid the uncertainty of a jury verdict and potential large damages awards. It can also expedite the resolution of the case and save on legal costs.
Yes, a high-low agreement is a legally binding contract between the parties involved. Once both parties agree to the terms and sign the agreement, they are obligated to abide by its terms.
In most cases, a high-low agreement cannot be modified or revoked without the consent of both parties. However, there may be circumstances where a court may allow for modifications or revocation if there is a valid reason, such as fraud or duress.
No, a high-low agreement is typically kept confidential and does not influence the jury’s decision-making process. The jury is unaware of the existence or terms of the agreement and makes its decision based on the evidence presented during the trial.
High-low agreements are commonly used in personal injury cases, medical malpractice claims, and other civil litigation matters. However, their use may vary depending on the jurisdiction and the specific circumstances of the case.
One potential disadvantage of a high-low agreement is that it limits the potential damages that the plaintiff can receive, even if the jury awards a higher amount. Additionally, if the agreed maximum amount is significantly lower than the potential damages, the plaintiff may feel compelled to settle for less than they believe they deserve.
Yes, if one party breaches a high-low agreement, the other party can seek legal remedies to enforce the agreement. This may include filing a lawsuit for breach of contract and seeking damages for any losses suffered as a result of the breach.
Yes, it is highly recommended to consult with an experienced attorney before entering into a high-low agreement. An attorney can provide guidance on the potential risks and benefits of such an agreement and help negotiate favorable terms that protect your interests.
This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.
This glossary post was last updated: 16th April 2024.
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