Personal injury firm negligent in agreeing to limit client’s recovery to avoid litigating in Federal Court.

This claim was against a personal injury firm that agreed to cap its clients damages at $75,000 to avoid having the case transferred to Federal Court. Unfortunately, at the time the firm agreed to the damages cap, the client had injuries that suggested the case had a settlement value of at least $400,000. The firm eventually settled the clients case for $70,000 at a mediation. The client, told that was really all his case was worth, and completely unsuspecting about his attorneys negligence was alerted to the possible malpractice claim by the mediator, who told the client he should get someone to look at the case as they rode down the elevator following the mediation.