Caitlin Atwater, Peterson's stepdaughter, brought the lawsuit after Peterson was convicted of killing her mother in 2003. Documents released by her attorney show Atwater has agreed to a 25 million dollar settlement in the case. Jim Trehy, an attorney representing Atwater, has said Peterson probably won't be able to pay her. Still, he says a civil judgment would show that Kathleen Peterson's life had value. Michael Peterson filed for bankruptcy protection last year. The once-wealthy Durham novelist is the author of "A Time of War" and "A Bitter Peace." Peterson is now serving a life sentence for his wife's death. The settlement states that Peterson admits no guilt or liability in the death of Kathleen Peterson.