Structured Settlements in the US vs World
You Have a What?
Outside the United States
Most other countries — especially Spanish speaking countries — are unfamiliar with structured settlements. In most countries, structured settlements are rare and, in many places, effectively don’t exist. This reflects fundamental differences in legal systems and litigation culture, including how lawsuits are pursued, resolved, and compensated.
Cultural Differences
Lawsuits exist, but they are not part of everyday culture the way they are in the United States. Television overseas isn’t saturated with personal injury and class action ads. It’s uncommon to sue a business for what many would consider frivolous reasons.
The Infamous McDonald’s Case
Hot Coffee Anyone?
You spilled hot coffee on yourself? Don’t get excited. You’re not Stella Liebeck (1912–2004), the 79-year-old woman who famously sued McDonald’s after suffering third-degree burns when she spilled coffee in her lap in 1992. The case settled two years later and was all over the headlines.
Why the Case Matters
Liebeck was initially awarded $2.7 million, equivalent to about $6 million in 2026. A judge later reduced punitive damages, and the parties settled for an undisclosed amount.
Landmark Case Spawns “May Be Hot” Warning Labels
Given her age at the time, it’s extremely unlikely she received a structured settlement. She almost certainly received a one-time payout. Still, the case illustrates how unusual this type of lawsuit is outside the United States. I mean, she spilled coffee on herself! In the US — a country widely recognized for its highly litigious culture — cases like this can go to court, while in most other countries a lawyer likely wouldn’t have taken it, and it almost certainly never would’ve been heard in a courtroom. The McDonald’s Coffee Case spawned a new era, with a significant increase in warning labels on consumer food items and products.
Structured Settlements Are Common in US Law
Structured settlements are widely used in the US to resolve Tort Claims such as personal injury, accidents, medical malpractice, wrongful death, civil rights, and discrimination cases. Contract disputes are not part of tort law but rather contract law. Structured settlements are most often used when damages are substantial and long-term compensation is justified.
In Closing
If you have a structured settlement and want to understand the process of selling payments, or you’d like to get a quote, give us a call. We’ll go over your options clearly and come up with a plan that makes sense for your situation — no pressure, no obligation.
