Annalise,
May I suggest that you can play "what if" all day long and not get the answer you seek. While having legal arguments and insights on your side is helpful, if you think you are going to "outlawyer" the opposing side into submission, you are not understanding this fight and you have gone all the way to far left field.
The "reasonable" offer you make is going to get turned down whether it is $100, $200, $300, or $400. Pick a number you are comfortable with in case they miraculously say yes. Even then, you can change your mind.
You ask if it will take 6 months or a year is going on the WRONG track. You are playing their game.
My case ended within 2 replies in about 60 days and that was it. I did my courtesy responses because I didn't want to be accused of ignoring the situation. But it didn't take me long to assess what (and who) I was dealing with and respond appropriately. I laid down the law of the consequences of their continuing on.
I had no plans on going around and around with a $12-$15/hour clerk trying to "convince" the other side. I knew my position and my limits and what I was going to put up with and what not to put up with.
Believe it or not, the brokest people really have the least to worry about in these cases. I keep hearing from people how broke they are and how they can't pay. Well, that actually works to your benefit if it is the truth. If I was broke, I would simply tell them that. You can go spend thousands of dollars to come after me but if my monthly checking account hovers around $200 per month, there is not much to get.
Mcfilms said it in a very nice way you stop asking and "you start telling" people how things are going to go down. I have used this tactic repeatedly over the years and it works.
Do yourself a favor and back up the truck to get a wider viewer. If you don't, you are going to get sucked into the rabbit hole.
Just trying to decide how high to go with any negotiations. Definitely not starting out offering the entire amount.
How long to these supposed negotiations last before they say they are going to sue? Am I looking at 6 months, a year of letter writing?