eli5: How does it work when a company is sued for millions of dollars? do they actually pay that out in cash/stock/etc..
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The companies will come up with a payment arrangement. X amount of money by Y date
The payments will usually be in cash, but since companies don’t have a lot of liquidity they will have to either borrow money or sell assets to pay off the fine.
A lot of companies also hold liability insurance to pay out such judgements.
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