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Pre-litigation settlement in Proposition 65




Vast majority of Proposition 65 cases settle in pre-litigation- see more here. The reasons are obvious: an early settlement spares negative publicity, may save retail and distribution channels, and enormously saves time and expense for a defendant.

After receiving NOV, an alleged violator has 60 days to provide an enforcer with their verified sales numbers and agree in writing to the standard terms—see main terms in "Stage VII" section here.

In case of a trial, a losing defendant pays all pre-litigation and litigation costs, experts' and attorneys' fees of the plaintiff. The defendant will be paying much larger civil penalties—see section "Statutory Penalties-Formula" above—to Attorney General of California because statutory penalties continue to accrue during the litigation and will be counted for each day of violation starting one year prior to NOV, up to the date of a verdict or a consent judgement. In addition, cooperativeness of the defendant in correcting the violation and the line of defense are factors a court will consider in determining penalties. 

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