What an interesting story this was as there was a person who did a really poor job as a contractor and so as expected the company decided to not renew his contract. Even though he was clearly in the wrong it seemed like the person actually decided to sue the company for damages even though by the looks of it he didn’t really have a case. With that said, the company was actually thinking of just paying him to end everything.
For large companies hiring a lawyer and investing all that time to go to court can simply be a nuisance to the point where it is simply not worth it. Imagine spending a year in court over some $100 product as an example. This reminds me of n example I actually heard of a dad essentially teaching his son to defraud a company. Basically, his son bought a yearly membership fee which he regrets as he doesn’t use it much. It is charged monthly and so he will pay regardless of use. His dad actually told him to not pay it and let them take him to court if they want it. The logic was no one will usually go through with it as it simply wasn’t worth the business’s time.
Imagine that where people actually abuse the court system in these ways to their advantage even though they are clearly in the wrong huh? It happens though and you have to decide if one would go through with it out of principles versus purely from a money point of view.