Earlier quoted context omitted.
> Most employment lawyers would be very reluctant to take a case like this for 5-10k. We don't know the actual value of the case. The defendants seemed to think that it was worth hiring "the most expensive defense firm in California".
You're right we know very little facts about the case, but gamemaster and his lawyer did and came to the conclusion it was a 5-10k case. So without any other evidence why should we assume that estimate is wrong?
We shouldn't assume that the estimate was accurate either, for a couple of reasons:
First, the defendant definitely has more information (e.g., manager's employment records). More information usually leads to a more accurate valuation. And the defendant seems to have valued the case higher because it hired the expensive defense attorney.
Second, Gamemaster's attorney dropped the case, probably because they lacked the required experience with these types of employment cases. If they lacked the required experience to handle the case, then they probably weren't qualified to give an accurate valuation either.