It seems to me like this is just a bribe to shut up about the cause of the lawsuit. It doesn’t lead to justice, and is not punitive enough in the case of large corporations.
I find this disgusting and immoral, but maybe I’m getting something wrong…? I hope so.
Please explain to me why this is, I’m getting irrationally angry at the fact that no one goes to trial for anything, including environmental hazards, rape, etc.
Edit: Found a source that details all the good reasons to go to trial instead of settling. Personally, an admission of guilt and real consequences to a misdeed are incomparably more important than a slap on the wrist like a settlement. https://www.askadamskutner.com/personal-injury/dont-settle-outside-of-court/
Edit 2: I see all the replies mentioning time and costs as the biggest reasons. And I get that, rationally. But sometimes people are irrational, I can’t believe 90% of lawsuits settle… (actually it’s 95% - https://thelawdictionary.org/article/what-percentage-of-lawsuits-settle-before-trial-what-are-some-statistics-on-personal-injury-settlements/ )
Other people have covered the main reasons, which are time and expense. I will just add:
Lawsuits are public, and a lot of dirty laundry can get aired. They have the potential to be embarrassing for both sides.
They are also stressful, particularly if you are cross-examined which must be an awful experience.
Finally, they are risky: even if you think you have a very solid case, there is always a significant chance that the judge will rule against you on the day.
Basically litigation is a bad experience, whether you are plaintiff or defendant, corporate or individual, right or wrong. So both parties have a strong incentive to settle.