Litigation Risk Assessment & Strategy

Our {{client_name}}] faces potential litigation over {{matter}}] and we need an objective assessment of risk and strategy. Create a litigation risk assessment and strategy memo.

Include: (1) Case evaluation – likely claims and defenses. Probability of liability (high/medium/low). Estimated exposure range. (2) Litigation costs – discovery, depositions, expert witnesses, trial. Cost to resolve via settlement vs. trial. (3) Decision tree – at what cost threshold should you settle vs. litigate? Key inflection points? (4) Mitigation strategy – can you reduce exposure through negotiation or early dismissal motions? (5) Insurance coverage – what does your policy cover? Any coverage disputes or gaps? (6) Recommendation – defend vigorously, seek settlement, or combination approach?

Include a case budget and timeline, sensitivity analysis for key assumptions, and settlement parameters. Make the analysis clear for business decision-makers.

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Why this works

Litigation is expensive and uncertain. Clients want clear-eyed assessment early to make informed business decisions about settlement.

Risks & review

Litigation outcomes are unpredictable. Use ranges and scenarios rather than point estimates. Be honest about uncertainty.