I'm increasingly of the opinion that settlements should be outlawed in many cases. Settlements mean a case ends without a final ruling. If the parties could resolve their issues without a court, then they never should have sued. If they bring the courts into it, then the court process should be followed to the end.
Paxton made a request of the hospital that 1. He knew they would not comply with and 2. Was not legal. It was pure grandstanding. In a settlement, he escapes any penalty for his abuse of office. At the least, definitely losing the case would look worse for him than just settling.
Companies also use settlements to avoid being judged guilty of various abuses. Settlements almost always include NDAs and no admission of guilt by the company. So, some of the people harmed get a huge monetary payout, but the company can keep on hurting others.