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Michael Avenatti, attorney and founding partner of Eagan Avenatti LP, speaks to members of the media outside the federal court in New York, U.S., on Monday, March 25, 2019. Avenatti was charged by federal prosecutors on both coasts, accused in New York of trying to extort millions of dollars from Nike Inc. and in Los Angeles of embezzling money from a client and defrauding a bank. Photographer: Louis Lanzano/Bloomberg Michael Avenatti, attorney and founding partner of Eagan Avenatti LP, speaks to members of the media outside the federal court in New York, U.S., on Monday, March 25, 2019. Avenatti was charged by federal prosecutors on both coasts, accused in New York of trying to extort millions of dollars from Nike Inc. and in Los Angeles of embezzling money from a client and defrauding a bank. Photographer: Louis Lanzano/Bloomberg

Recent headlines highlight a conundrum frequently presented to in-house counsel: When does an overly aggressive demand for settlement rise to the level of extortion?

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