Comment by manquer

Comment by manquer 3 days ago

5 replies

Lawyers have to paid now till then.

Companies settle much faster typically to reduce some of this costs, it ends up being cheaper.

Also many of these will be resolved through their arbitration clauses that would be present in the contracts. Arbitration is much faster and usually appeal proof

baq 3 days ago

Delta sued for what, $500M? These would have to be some expensive lawyers, even for lawyers.

  • manquer 3 days ago

    That is just one customer, and also it is not just lawyers, Contingent liabilities(potential amount for settlement) when it escalates from possible to probable, in GAAP that means it changes from mere footnote to a line item in P&L which needs to be financed and managed and affecting their margins well before the actual settlement is decided.

    • baq 3 days ago

      Looks to me the market priced this in.

  • bruce511 3 days ago

    Meh- Delta sues for 500 million is just the headline. They'll end up settling for nothing like that.

    • baq 3 days ago

      So either way a non-issue for today.