What can happen after a settlement agreement is finalized is just as important as what happens before it was signed. Two recent cases illustrate the unintended consequences when a final resolution was lost through faulty drafting, by post signature conduct of the parties, or by a fundamental misunderstanding of what it was to which the parties actually agreed.
This was evident in the 5th Circuit Court of Appeals’ unique post-settlement decision in the Deep Water Horizon matter. The appeal addressed issues, which arose under a settlement agreement approved by the district court in December 2012. That settlement included a mechanism for presenting and processing claims for business losses arising out of the April 2010 Deepwater Horizon disaster in the Gulf of Mexico.