I have used a high-low agreement many times during very difficult personal injury trials to protect my clients’ interests and guarantee they get money even in the event of a loss at trial.
What is a High-Low Agreement?
A high-low agreement is an agreement entered into by both parties regardless of the jury’s decision. With it, the plaintiff is assured or guaranteed to get a minimum agreed-upon amount . Of course, there is a maximum agreed-upon value which is your upper limit to collect even if the jury awards more.
All parties must agree, which is often the challenge. The high-low limits are always negotiable. It’s a great tool used by top NYC personal injury attorneys in difficult cases because it guarantees some compensation to the client. Insurance companies defending personal injury suits in NYC often agree because it caps their exposure to a huge jury verdict.
When negotiating a high-low, I, as a New York City personal injury lawyer, always insist upon a no-appeal clause, as well as quick payment.
Remember, It is important for the client to be fully aware of the risks and benefits before any agreement is finalized.
