Changing My Mind After A Settlement

Can a Settlement Agreement Be Withdrawn?

If you've agreed to a settlement with your employer and now have second thoughts, you might wonder if you can withdraw. Perhaps your medical bills have increased, or you face unexpected expenses. Let's explore the possibility of backing out of a settlement agreement.

Can I Change My Mind on a Settlement Offer?

It depends on the agreement you've already reached with your employer. A settlement agreement is a contract, and a contract can be renegotiated at any time before it is finalized and executed. If you have agreed to a specific settlement amount, but now you feel this amount is not enough, you can ask your employer to revise their offer. The employer may agree to do that, or they may not.

If the employer doesn't agree to increase the settlement amount, you can still try to convince them that the new circumstances make it impossible for you to accept it. For example, if your medical expenses have increased significantly, you could try to explain what additional expenses you have and how much they have increased your original medical bill. If the employer still refuses to raise the settlement amount, you can withdraw from the settlement agreement unilaterally and still pursue your workers' compensation claim.

Why Back Out of a Settlement Agreement?

There are several reasons why you would want to back out from a settlement agreement. Often, it's simply because the terms of the settlement are insufficient to cover your medical bills and other losses, or because you believe that your employer will be able to come up with additional compensation. You might have decided to settle your case because you were in a hurry to receive some money to cover your medical bills or start receiving some income.

Now, you may think that you've been shortchanged by the agreement or that you can do better. You may have experienced some changes in your life or circumstances since you signed the agreement with your employer that may affect the amount of compensation you receive.

Backing Out of a Settlement Agreement

The starting point is to determine whether the settlement was made orally or if there was paperwork. In most cases that involve a party looking to withdraw from a settlement that was previously agreed on, the final decision is up to the court as to whether the agreement is enforceable. Moreover, it must be determined if each party understood the consequences clearly, alongside the extent of the settlement agreed upon in the first place.

If you learn that the parties were misinformed or that circumstances have changed, it will not affect whether a settlement is binding. The settlement still may be annulled if the other parties misrepresented their intentions, or if the terms and conditions are unfair.

If a settlement agreement is drafted by a lawyer, it becomes legally binding regardless of the state in which you reside. This means that if you break a binding contract, you can be held liable for legal costs, as well as any other damages.

Let's say a party is favored over another or the others because of a stipulation. In that sense, a case could be reopened or annulled, but the stipulation must be rooted in circumstances such as:

• Fraud
• Inadvertence
• Mistake of fact
• Mistake of law
• Neglect

If you face significant financial damages for breaching a contract, then you may be responsible for paying the other party in the event of an out-of-court settlement. You may still back out of the contract if the other party has not signed off on it. It is best to withdraw from a contract in an appropriate amount of time. Was the agreement paperwork signed by the party? If so, the contract can be retracted given:

1. The agreement has a provision that allows for rescission
2. The other party lets you rescind

Settlements With Good Faith

In legal terms, "good faith" means acting honestly and fulfilling promises made in a contract. A settlement agreement can be challenged if a party acted in bad faith, such as through:

• Coercion
• Deception
• Fraud
• Lack of capacity to enter a contract
• Too young

The Implications of Withdrawing from a Settlement

If you decide to withdraw from the settlement agreement and go back to pursuing a workers' compensation claim, this can have several implications. This can be a complicated process, so don't try to do it yourself. Instead, get professional help from an experienced workers' compensation attorney who can explain the implications and help you with the process.

Conclusion

Changing or withdrawing from a settlement agreement has significant implications for your future rights and benefits. Be sure to explore all the options and discuss the pros and cons with an experienced attorney before making any decision.

Going through with workers' compensation claims and settlement agreements shouldn't be dealt with on your own. You need the help of a skilled work accident lawyer to guide you throughout the process. Pacific Workers', The Lawyers for Injured Workers, is the kind of partner you need to back you up and your claims. We represent injured workers throughout Northern California. Call us at (800) 606-6999 for a free consultation today.