Myths / Facts

Illinois injury attorneys serving Cook, DuPage, Kane, Lake, McHenry, Kendall and Will counties

Numerous myths have circulated regarding lawsuits for personal injury claims, whether poking fun or aiming to influence tort reform. These myths have created false perceptions and ideas about personal injury representation. Such fabled lawsuits are called “Stellas” or “Stella Awards,” a name derived from an actual personal injury case in which Stella Liebeck, a woman scalded by hot coffee, sued McDonald’s.

Myth

The simplified version of Liebeck’s case involves her spilling McDonald’s coffee, scalding herself and persuading a jury to award her $3 million. The case often is portrayed as an example of a ridiculous and frivolous lawsuit.

Fact

The facts of the Liebeck lawsuit paint a different picture:

Stella Liebeck, 79 years old, suffered third-degree burns and remained in the hospital for eight days, undergoing skin grafting, followed by two years of treatment.

She attempted to settle with McDonald’s for $20,000 to cover medical costs, which were $11,000.

McDonald’s offered her $800, at which point she retained Texas attorney Reed Morgan.

McDonald’s refused to accept Morgan’s settlement offer of $90,000.

McDonald’s also refused the mediator’s suggested $225,000 settlement.

Evidence showed that McDonald’s required franchises to serve coffee at 180–190 degrees (capable of causing a third-degree burn in seven seconds).

Evidence showed other establishments serve coffee at a substantially lower temperature.

McDonald’s company records showed that from 1982 to 1992, customers submitted more than 700 reports about burns from the coffee.

McDonald’s had settled claims from coffee-scalding injuries for more than $500,000.

The jury found McDonald’s to be 80% responsible and Liebeck 20% responsible for the injury, based on comparative negligence.

The jury awarded compensatory damages of $200,000, reduced by Liebeck’s 20% fault to $160,000.

The jury awarded $2.7 million in punitive damages, equal to revenues for two days of McDonald’s coffee sales ($1.35 million per day).

The judge reduced punitive damages to $480,000, which when added to compensatory damages totaled $640,000 in damages. McDonald’s appealed; the parties settled out of court for an undisclosed amount less than $600,000.

For more information, see Liebeck v. McDonald’s Restaurants

The following accounts are Stellas — or myths — and never occurred. Even so, these stories are circulating around the Internet and boost the demand for tort reform.

$780,000 awarded by jury to Kathleen Robertson of Austin, Texas, who broke her ankle after tripping over a toddler (her son), who was running around a furniture store. Jan. 2000

$74,000 awarded to Carl Truman of Los Angeles for injury caused by his neighbor running over his hand with a car while Truman tried to steal a hubcap. June 1998

$1.5 million awarded to Terrence Dickson of Bristol, Penn., who sued for mental anguish when he was locked in his garage for eight days because of a malfunction with his automatic door opener. He was robbing the house at the time and got trapped while trying to exit. Oct. 1998

See the remaining three fictitious lawsuits listed as Stella Awards and read more about these urban legends at Snopes.com.

While frivolous lawsuits do exist, they are rare, and there is more than meets the eye regarding the demand for tort reform. Large corporations have a vested interest in capping compensation awards for personal injury cases. See "And Justice for All? Debunking the Myth of Lawsuit Abuse"