Key Findings
“95% of lawsuits settle” is one of the most repeated statistics in law — usually with no source attached. Court records tell a more precise story. This study computes actual disposition rates from every federal civil case the courts reported to the Administrative Office since 1988, without sampling or estimation.
- The trial really is vanishing: 1.49% of cases reach one. In 1990, 3.37% of terminated cases ended in a trial; by 2024 it was 0.28%. Jury verdicts alone decide fewer than 1 in 100 federal civil cases.
- 23.14% of cases end in an explicitly recorded settlement — and another 13.96% end in voluntary dismissals that frequently follow private deals. That supports “most cases resolve consensually,” but not the cliché that 95% settle: dismissals on motions, jurisdiction, and procedure make up much of the rest.
- Medical malpractice is the trial outlier: 6.75% of cases are tried — about 4.5× the overall rate — and its recovery median ($300K) is among the highest of any major category, consistent with the median malpractice payment reported in the National Practitioner Data Bank.
- Motor vehicle cases settle most: 49.24%, with the highest plaintiff judgment share (48.42%) — liability in crash cases is comparatively clear, so they resolve faster (306 days median) and more often in the plaintiff’s favor.
- Mass torts distort naive settlement rates. Product liability shows only 21.62% recorded settlements and a 2.1 yrs median duration — because MDL member cases (3M earplugs alone contributed ~396,000 filings in one district) sit consolidated for years and are closed administratively after global deals. Asbestos, the oldest mass tort, shows the pattern after maturity: 48.83% settled with a $1.5M median recovery where one was recorded.