Many Florida car accident cases do not make it to a trial in front of a selected jury. Often, the parties can reach a settlement agreement before a lawsuit is even filed, ideally to the satisfaction of both parties involved. The Fourth District recently reviewed a settlement agreement between an auto insurer and a plaintiff injured in a car accident. The injured person appealed the enforcement of a settlement agreement, arguing they did not have a “meeting of the minds,” or a mutual understanding of what was agreed upon, thus voiding the contract.
The defendant in the lawsuit was insured under a policy with a $25,000 limit for bodily injury per person, a $50,000 limit for bodily injury per accident, and a $10,000 limit for property damage. The injured person’s counsel submitted a demand letter to the insurance company, asking for the policy limits of $50,000 for bodily injury and $10,044 for property loss. The letter also requested an affidavit from the at-fault driver to establish she had no other insurance coverage available, along with a copy of the insurance policy. No release was included with this letter.
The auto insurer accepted the offer and provided the injured person with all of the requested documents. The insurer provided a proposed release and asked that it be signed by the injured person and his mother. The letter specified signing the release was not required for the case to settle and was not a counter offer or new terms. The injured person rejected the proposed release and requested a “standard” release. A second letter was issued by the insurer with two proposed releases. One was an edited version of the first release, and the other was a standard release created by a section of the Florida Bar.