High-Low Agreement Law and Legal Definition
One way of settling cases that are in trial is called a "high-low" agreement. A high-low agreement is a form of settlement agreement. High-low agreement is a settlement that is contingent on a jury's award of damages. In a high-low agreement, the parties sets a minimum amount which the defendant will pay to plaintiff if the award is below that amount and a maximum amount that the defendant will pay if the award is more than that amount. A high-low agreement is of use when a plaintiff or defendant or both need to avoid an extreme verdict.