High-Stakes Move

Ellen Pao, right, and attorney Therese Lawless (SF Gate photo)

After losing her sex-discrimination suit against venture firm Kleiner Perkins in March, Ellen Pao filed an appeal last Monday. Yesterday Kleiner Perkins revealed that

Ellen Pao offered to forgo her right to appeal if her former employer Kleiner Perkins Caufield & Byers paid her $2.7 million, according to court documents filed on Friday in San Francisco Superior Court.

The firm did offer to waive recovery of its own $1 million in legal costs from Ms. Pao, but now that offer was rescinded.

By continuing the battle Ellen Pao risks piling up more legal expenses--including those she may have to pay her former employer---against the uncertain reward of winning an appeal. Comments:

1) One needs to have a credible path to victory when facing a foe with superior resources;

2) The court of public opinion matters much to some businesses, but not to venture capitalists and others whose livelihoods aren't reliant on it.

3) It's very difficult for successful people to acknowledge failure and cut their losses.