by Anne Jachetta

Created on: January 30, 2009

The decision of whether to sue is a three part process. The first part is to consider who you're suing. The second part is to consider whether you have a decent chance of prevailing. The third part is a cost-benefit analysis.

Part one. The party you're suing can be a big influence on your initial decision. One factor could be whether the party has the means to pay out if you prevail. It does you no good to win if you're unable to collect the judgement because the opposing party can't afford to pay you. Sure, you could put a lien on... on what? Do they have any assets? Will you remember to renew the judgement before it expires if it's still unfulfilled? Is this REALLY worth it to you?

Another factor could be your relationship with that party. Maybe you have a feeling you'll prevail. Maybe the other party can pay. Maybe you have the funds to hire a lawyer and collect that big, fat judgement check. Maybe the opposing party is your mother. Brother. Father. Sister. Best friend. What is a lawsuit going to do to your relationship with that person, and are you okay with that potential? Even if you don't get along with your mother, what does your ethical code say about suing family? Which is not to say that a suit against family is always inappropriate. This IS to say, you need to ask yourself this question.

Part two. Once you've decided to sue, you can consult a lawyer who will give you a hint at whether you have a case and what possible outcomes may be. If this lawyer doesn't think you have a case, it's time to decide whether you agree with this lawyer or whether you would like to shell out the dough to get another opinion. If you do have a case, it's time to move onto part three.

Part three. Do you have the time, energy, and MONEY to pursue this claim? It could be you find an attorney so passionate about your claim that s/he will represent you pro bono. Or it could be your attorney is so confident about your claim that s/he will represent you on a contingent basis. This means that while costs such as court filing fees will come out of your pocket, you will not be billed by the hour and rather, the attorney will take a percentage of the judgement IF you win. If your attorney is charging by the hour, you have some more thinking to do. If you don't qualify for a reduced rate based on your income, paying for an hour of an attorney's time could be hefty-at times $100 or more per hour.

In a nutshell, you'll want to get an idea of how much it will cost to persue your claim and compare that figure to how much you realistically expect to get in a judgement. Think carefully about these figures and know that they are both VARIABLE. This means that your attorney could cost more (or less) than you expect and your judgement, if you get one, could be less (or more) than you expect.

Lastly, consider the worst case scenario and ask yourself if you would be able to live with that result.

The bottom line is know what you're putting at risk in regards to the opposing party, money, and not least of all-yourself.

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