We now have the first large settlement in the wake of the options backdating scandal. Hewlett-Packard (NYSE: HPQ) will have to shell out $117.5 million to settle allegations of backdating at Mercury Interactive, a company HP acquired last year. Given that Hewlett-Packard earned over $6 billion in its most recent year, this is hardly disastrous news. The Street is probably glad to have all this behind it -- a quantifiable settlement is better than the threat of a massive judgment hanging over head.

But the settlement is important for another reason. Up until now, the largest settlement has been just $18 million, but this deal means investors have to take these pending lawsuits seriously -- especially at smaller companies.

To find out if a stock you own is involved in this mess, go through the commitments and contingencies, legal proceedings, or factors that could affect future results portion of the company's most recent 10-K. HP disclosed its options woes like this, with additional detail following:

In connection with our acquisition of Mercury, we have assumed responsibility for various stockholder derivative matters and regulatory inquiries that were pending against Mercury at the time of the acquisition, which could result in significant legal expenses and may result in the payment of substantial amounts in damages.

$117.5 million won't affect HP in any material way -- but other companies may not be so lucky.