Just a thought but the decision to sue may never be one in which LC is directly involved.
It may be entirely at the discretion of their third party collectors. Someone who knows more please help out here, but I think there are two categories of collectors. One category is contracted by LC, while LC still owns the loan, to act in LC's behalf. These loans are in "default" and, depending on success or lack of it, payments may be received and the loan may exit default. The other category LC sells the loan to the third party for a negotiated price (typically very little), the loan is charged off by LC and LC has nothing more to do with it.