Herman Cain says the ten year old sex harassment allegations against him are baseless.  He denies any wrongdoing.  See CBS news report.  Yet, he admits the National Restuarant Association paid a settlement on the two separate chareges against him.  One news report said the two settlements were in the five figures.  

Who truly knows what happened.  But, I find it doubtful any employer would pay out settlements in the five figures if the claims truly lacked any basis.  Discrimination cases are always emotional and difficult.  A breakdown of the employment relationship causes both sides to feel much anger and resentment.  Employers are angry anyway, but especially so if they believe the charges truly lack basis.  Settlements in discrimination cases are rare compared to other sorts of lawsuits.  

Virtually all settlements require the complaining party to agree to keep the terms of the settlement confidential.  So, I am sure whoever accused Mr. Cain of sex harassment agreed they would not discuss the terms of any settlement.  So, we will probably not hear their side of the story. 

But, as I have told my employee clients many times, the employer would not be paying out large sums of money if the claim truly had no merit.