Litigation Risk In COVID-19 Environment: Big Changes

Litigation risks are materially different today, under COVID-19, than at the start of 2020 when the threat of a world-changing global pandemic was barely an idea. The economic and strategic considerations affecting organizations' litigation decisions are shifting. This article examines that shift and explores the consequences for litigants going forward as they seek to resolve disputes in the pandemic environment—both existing legal disputes and new litigation arising from COVID-19.

The effect of COVID-19 on existing litigious disputes

COVID-19 is influencing litigation leverage and litigation risk in existing disputes. The cost/benefit analysis of litigating, and the strategies and tactics needed to arrive at an optimal outcome, must be assessed anew by all litigants. Although the effect is not universal, there are many existing disputes in which the opportunities for compromise and early settlement have been enhanced. In others, the outlook is more likely to be