Reference no: EM133685125

The Facts submitted by both parties to the mediator prior to entering into settlement negotiations:

Janet Jones (the plaintiff) was injured on May 9 2021 when her left foot became caught in a section of the conveyor belt system at the Walcott Distribution Center in Rosemead, California. She has been an employee at the Center for 6 years. She was not able to release her foot and was also unable to turn off the conveyor because the emergency shut-off was not working and had been offline for two weeks. At the time of the accident the plaintiff was attempting to remove a jam in the conveyor. She suffered broken bones in her left foot and ankle. Pins had to be inserted during three surgeries over a 4 month period. Her doctors recommend additional surgeries. She has not been able to work since the accident. The plaintiff's complaint is for $5,000,000.

Defendant Walcott Corporation's safety supervisor had posted warning notices in the conveyor area about the emergency shut-off problem several days before the accident. Plaintiff Jones had received three warnings during the six months preceding the accident for failing to follow Center safety precautions.

In earlier negotiations, the defendant offered to pay $25,000 to settle the case.

1. Based on these facts explain why the plaintiff may be willing to settle for less than $5,000,000.

2. Based on these facts explain why the defendant may be willing to settle for more than $25,000.

3. What are the advantages of a settlement for each party?

4. What, if any, are the disadvantages of a settlement for each party?