I'm not so concerned about the actual legality - more I am interested in what prompts some one to do this... is it the entitlement? Is it the frustration of not being able to find a job? And what could be the potential impacts of settling? More students suing for this? Not sure if the college would really want to open themselves up for the potential impact.
Most of the time, settlements include confidentiality agreements,
by whose terms, the paid settlements are refundable,
if plaintiffs reveal their terms.
As to what causes them:
that is a question in psychology.
Sometimes its a matter of mood.
There was one case wherein a law student was out shopping,
when she saw that she was passing by the office of defendant 's insurance carrier.
She sought to settle her case.
She ascended to its offices, and was rebuffed by claims staffers
who were more interested in going home at the end of the day.
She took offense, and strode to her law library,
where she began her research with impassioned determination
to get them. She cobbled together a novel theory of liability
that the defense counsel laffed off, but she sold the NY Court of Appeals on it
and it became the law of the land, terrorizing insurance carriers
for several years until eventually it was ruled unconstitutional.
It has been the case for many years that mentally unbalance people
are very litigious, and are known for throwing wide nets on rich corporations
for paranoid and psychotic reasons.
U never know.