The phrase litigation in America conjures images of courtroom battles, passionate arguments, and dramatic verdicts. Popular culture—from Hollywood films to TV dramas—paints litigation as both glamorous and decisive. Yet for the millions of Americans who find themselves involved in lawsuits each year, the reality is far less theatrical. Litigation is expensive, time-consuming, and deeply complex, often leaving individuals and businesses overwhelmed by the legal process.
Every year, over 40 million lawsuits are filed in the United States. These cases range from personal injury claims and contract disputes to class actions and constitutional battles. While litigation plays an essential role in upholding justice and protecting rights, it also reveals the unique characteristics of the American legal system: its emphasis on adversarial proceedings, the prevalence of settlements, and its enormous financial and emotional toll on participants.
Understanding litigation in America is not just a matter for lawyers—it’s vital for anyone who lives, works, or does business in the U.S. Whether you are an entrepreneur drafting contracts, an employee facing workplace disputes, or an individual considering a personal injury claim, knowing how the litigation process works can help you prepare, avoid common pitfalls, and protect your interests.
This article explores 10 facts you must understand about litigation in America. We’ll break down the myths, highlight the realities, and provide practical insights to help you make sense of this complex system. By the end, you’ll have a clearer understanding of what litigation really means in the U.S., empowering you to navigate it with confidence.
1. Litigation in America Is Extremely Common
The United States is one of the most litigious countries in the world. Lawsuits touch nearly every aspect of society, from business disputes to consumer complaints.
Why So Many Lawsuits?
- Cultural factors: Americans view the courts as a primary avenue for resolving conflicts.
- Legal environment: Contingency fees allow plaintiffs to file lawsuits without upfront costs.
- Broad rights: Constitutional protections and extensive consumer laws give people more grounds for legal claims.
For example, in 2022, U.S. courts handled nearly 20 million civil cases, showing just how ingrained litigation is in American life.
Key takeaway: Litigation in America is not unusual—it’s often the default response to conflict.
2. Litigation Is Often More About Settlement Than Trial
Despite the courtroom imagery, most cases never go to trial. Instead, they end in settlements.
The Numbers
- Over 90% of civil cases are resolved through settlement agreements.
- Trials are rare due to cost, time, and risk.
Why Settlements Dominate
- Certainty: Both sides prefer guaranteed outcomes over unpredictable verdicts.
- Efficiency: Settling saves months, even years, of litigation.
- Privacy: Settlements often remain confidential, unlike public trials.
For victims of personal injury or businesses in contract disputes, understanding that settlement is the norm helps set realistic expectations.
3. Litigation in America Is Expensive
The cost of pursuing or defending a lawsuit is often staggering.
Common Expenses
- Attorney fees: Top litigators may charge $500–$1,000 per hour.
- Court fees: Filing fees, depositions, and expert witnesses quickly add up.
- Discovery costs: Document production and e-discovery can cost millions in complex cases.
For small businesses, legal fees can cripple operations. Even individuals with strong claims may struggle financially before their case resolves.
Key takeaway: Litigation is as much about financial strategy as legal arguments.
4. Discovery Is the Longest and Most Expensive Phase
The discovery phase—the process of gathering evidence—is often the most demanding part of litigation.
What Happens in Discovery?
- Depositions: Witnesses provide sworn testimony.
- Interrogatories: Written questions are exchanged between parties.
- Document requests: Emails, contracts, and records are scrutinized.
In corporate cases, discovery can involve millions of documents. This is why litigation is often drawn out for years.
Key takeaway: Be prepared for discovery to consume time, money, and energy.
5. Juries Play a Central Role in U.S. Litigation
Unlike many countries, litigation in America often involves juries, even in civil cases.
Why Juries Matter
- Unpredictability: Juries can award massive damages—or none at all.
- Public sentiment: Jurors bring personal experiences into deliberations.
- Pressure to settle: The unpredictability of juries pushes parties toward settlement.
For example, in personal injury lawsuits, juries sometimes grant “nuclear verdicts” exceeding $10 million, reshaping industries.
Key takeaway: The presence of juries adds risk—and leverage—to American litigation.
6. Litigation Is Both a Tool and a Weapon
Litigation can protect rights, but it can also be used strategically or aggressively.
Litigation as Protection
- Employees use lawsuits to fight workplace discrimination.
- Consumers sue corporations for defective products.
Litigation as Strategy
- Corporations may file lawsuits to intimidate competitors.
- Wealthy plaintiffs sometimes use litigation to drain the resources of opponents.
Understanding both sides of this coin helps you recognize litigation not only as a path to justice but also as a potential business tactic.
7. Class Actions Are a Unique Feature of U.S. Litigation
Class action lawsuits allow groups of people to sue together, amplifying their power.
Benefits of Class Actions
- Efficiency: One case covers thousands of claims.
- Access to justice: Individuals with small claims can band together.
- Corporate accountability: Class actions have forced industries to reform.
Examples include lawsuits against tobacco companies, tech giants, and pharmaceutical firms.
Key takeaway: Class actions are powerful tools for leveling the playing field.
8. Litigation in America Is Public (Most of the Time)
Unlike arbitration or mediation, litigation is a public process.
What This Means
- Transparency: Court filings and hearings are often public record.
- Reputation risks: Lawsuits can damage businesses even before a verdict.
- Media attention: High-profile cases can attract national coverage.
For businesses, litigation may bring reputational costs even if they win in court.
Key takeaway: Litigation is not just legal—it’s also public relations.
9. Appeals Can Extend Cases for Years
Winning or losing at trial doesn’t always end a case. Appeals can keep litigation alive for years.
The Appeal Process
- Appeals courts review legal errors, not facts.
- New trials may be ordered if errors are found.
- Complex cases can climb to the Supreme Court, prolonging disputes for a decade.
For victims and businesses alike, appeals often mean more expense and emotional strain.
Key takeaway: Even after trial, litigation may be far from over.
10. Litigation Is as Much About Strategy as Law
At its core, litigation is not only about applying statutes—it’s about strategy.
Elements of Strategy
- Timing: Filing suits at the right moment can increase leverage.
- Venue selection: Some jurisdictions are more favorable to plaintiffs than others.
- Psychological pressure: Lawsuits can push parties into negotiations.
The best litigators don’t just know the law—they understand people, timing, and persuasion.
Key takeaway: Winning often depends on strategy, not just legal arguments.
Navigating Litigation in America
The realities of litigation in America are far more complex than courtroom dramas suggest. It’s a process defined by expense, strategy, and settlement, with outcomes shaped as much by juries and negotiations as by legal statutes. From discovery’s grueling demands to the unpredictability of appeals, litigation is a marathon rather than a sprint.
For individuals and businesses alike, understanding these 10 essential facts about litigation in America is crucial. Whether you’re weighing the risks of filing a lawsuit or preparing to defend one, knowing the landscape allows you to make informed decisions, allocate resources wisely, and avoid being blindsided by hidden costs or delays.
Most importantly, litigation should never be your only plan. Exploring alternatives like mediation or arbitration can save time, money, and emotional energy. But if litigation becomes necessary, going in with realistic expectations—and strong legal counsel—can make the difference between a devastating loss and a strategic victory.
Remember: Litigation in America is not just about justice; it’s about preparation, persistence, and perspective.
Frequently Asked Questions (FAQ)
1. Why is litigation in America so common?
Because the U.S. legal system encourages lawsuits through contingency fees, broad rights, and cultural reliance on courts to resolve disputes.
2. How much does litigation in America usually cost?
Costs vary widely, but attorney fees, court expenses, and discovery can push cases into hundreds of thousands—or millions—of dollars.
3. Do all lawsuits go to trial?
No. Over 90% of cases end in settlements before reaching trial.
4. What is the role of a jury in litigation?
Juries decide outcomes in many civil cases, making verdicts less predictable but also more powerful for plaintiffs.
5. Are there alternatives to litigation?
Yes. Mediation and arbitration are common alternatives that are faster, cheaper, and often private.