# ames Sodais a regional soda manufacturer. James is currently facing three lawsuits, summarized

Posted: December 30th, 2021

A customer is suing James for \$1 million because he claims to have found a piece of glass in his soda. Management deems the’ probability that James will lose the lawsuit and have to pay \$1 million as reasonably possible. An employee is suing James for \$500,000 for an injury she incurred in the parking lot while walking to work. Management deems the’ probability that James will lose the lawsuit as probable but eslimates that a reasonable payout will be \$100,000, not \$500,000. A customer is suing James for \$300,000 because her last name is James and she claims James stole her name. Management deems’ the probability that James will lose the lawsuit and have to pay \$300,000 as remote.

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