Regarding a settling tortfeasor, which statement is correct?

Regarding a settling tortfeasor, which statement is correct?

• A. Settling tortfeasor cannot sue or be sued for indemnity
• B. Settling tortfeasor can sue for contribution but not indemnity
• C. Settling tortfeasor can sue and be sued for indemnity
• D. Settling tortfeasor has no rights after settlement

Answer: (C)

Indemnity rights survive a settlement among tortfeasors. When multiple people are responsible for a single injury, settling with the plaintiff releases the settling party from further liability to the plaintiff, but it doesn’t erase cross-claims among the tortfeasors themselves. The law aims to allocate the total damages fairly among those who were actually at fault, so the settling tortfeasor can seek indemnity from the non-settling tortfeasors for any amount paid beyond their share, and those non-settling tortfeasors can, in turn, seek indemnity against the settling party for their portion. In short, the settling tortfeasor has the right to pursue indemnity and can also be subjected to indemnity claims by others, ensuring a fair distribution of loss among all at-fault parties.

Indemnity rights survive a settlement among tortfeasors. When multiple people are responsible for a single injury, settling with the plaintiff releases the settling party from further liability to the plaintiff, but it doesn’t erase cross-claims among the tortfeasors themselves. The law aims to allocate the total damages fairly among those who were actually at fault, so the settling tortfeasor can seek indemnity from the non-settling tortfeasors for any amount paid beyond their share, and those non-settling tortfeasors can, in turn, seek indemnity against the settling party for their portion. In short, the settling tortfeasor has the right to pursue indemnity and can also be subjected to indemnity claims by others, ensuring a fair distribution of loss among all at-fault parties.