The case of Pearson

During the initial proceedings, Liebeck sought a settlement from McDonald’s Corporation in the sum of US $20,000. 00. This amount was meant to cover the medical expenses from the treatment and the grafting procedure. The real amount, however, only totaled US $11,000. 00 and McDonald’s only offered to pay US $800. 00 (Liebeck v. McDonald's Restaurants, P. T. S. , Inc. ). This led to the lawsuit in a New Mexico District Court wherein it was alleged that McDonald’s was guilty of “gross negligence” in its act of selling coffee that was “unreasonably dangerous” and “defectively manufactured.

Tort Reform movement

Courts of Justice have always been regarded as institutions where people can address their grievances in a peaceful manner. They have also been considered as “efficient mechanisms for the dispensation of justice” thus carrying out the maxim of social justice that those who are poor have much under the law. This maxim, however, has been interpreted in a rather obtuse manner by those who have sought to exploit the Justice system to further their own ends.