Most personal injury claims resolve when the claimant accepts a settlement from the insurance company after negotiating for fair compensation. Unfortunately, however, it may come to light after the fact that the agreed-upon compensation was not enough to cover all of the claimant’s damages.
If you find yourself in this situation, it is important to understand if you can sue someone after settling with their insurance.
Is It Possible To Sue After Accepting a Settlement?
In most cases, it is not possible to sue someone after settling with their insurance. This is because settlement agreements typically include a “release of liability” clause. Signing an agreement with this clause means you legally commit to refrain from pursuing additional damages related to the same incident.
Arizona’s negligence laws exist to hold individuals fully accountable when their wrongful actions cause damage or injury to other parties. When pursuing legal action against a negligent individual, you have the right to recover the full extent of the damages you suffered. Releasing the at-fault party of their liability is tantamount to forfeiting that right in exchange for the agreed-upon compensation.
What Can You Do if Your Settlement Was Insufficient?
It can be dismaying to find out that the settlement you accepted does not fully cover all of your medical expenses or your long-term loss of income-earning ability. The release of liability can make it difficult to seek additional action and get the rest of the compensation you need, but there are exceptions.
One option you might have if your settlement is insufficient is to refer to the “scope of settlement” specified in your agreement. The scope of the settlement outlines the specific damages that the settlement covers. If new damages come to light that were the result of the accident, and yet the scope of settlement does not mention them, it may be possible to take new action.
In addition, you can sue someone after settling with their insurance if they breach the terms of the settlement agreement. This might include lying, hiding evidence or attempting to defraud you during settlement negotiations. Anytime new evidence comes to light, you may have options for reopening the case.
How Can You Avoid an Unfavorable Settlement?
There are certain actions you can take before settling a case to make sure your settlement will be sufficient. One of your top priorities is to contact an experienced lawyer who can guide you through the process and protect your interests. The personal injury attorneys at Sargon Law Group can support you at every step of the claims process and beyond.
Together with your legal team, make sure you identify every party who might share in the liability for your damages. Thoroughly evaluate the extent of your damages by organizing medical records, repair receipts and all other relevant documentation. Bring this evidence to the negotiating table and rely on your attorney to hold the other party fully accountable.
Sargon Law Group Can Help You Get Your Due Settlement
At Sargon Law Group, we can assist you with every aspect of your personal injury claim and help you understand when you can sue someone after settling with their insurance. We proudly serve Glendale, Mesa and the entirety of Maricopa County. Contact us today to learn more about what we can do for you.