People and organizations settle lawsuits all the time to avoid a lengthy, drawn out, and embarrassing process. It doesn't mean they're right or wrong, it just means they're being prudent.
This case IS an embarrassment for UConn. One of our greatest player/alums, who represented the school for well for years & is still highly regarded by many, is now involved in this messy issue with his alma mater. Yeah, it sucks to admit, but there are many like Ray Allen who still feel that regardless of the sordid details, Ollie was not treated fairly & was shafted on his compensation.
As BY members we know the dirty details and we can respectfully disagree. But rightly or wrongly that perception will be there for as long as this thing keeps going on. It's not always about being right, sometimes its just about being practical. Find a settlement, get it done, and let's REALLY put this behind us.