What is a settlement?

What is a settlement?

• A. A unique identifier assigned to a case for tracking in the court system
• B. An agreement that ends a dispute
• C. A deposit into an account
• D. A court procedure for filing charges

Answer: (B)

A settlement is an agreement between the disputing parties to resolve and end the dispute without going to trial. It often closes the case and lays out terms such as payment, a release of claims, and sometimes confidentiality or non-admission of fault. This differs from a docket number, which is just an identifier used to track a case in the system; it isn’t an agreement. It isn’t a deposit into an account, which is simply placing funds somewhere, not resolving a dispute. And it isn’t a court procedure for filing charges, which would be the steps to start criminal or civil proceedings.

A settlement is an agreement between the disputing parties to resolve and end the dispute without going to trial. It often closes the case and lays out terms such as payment, a release of claims, and sometimes confidentiality or non-admission of fault. This differs from a docket number, which is just an identifier used to track a case in the system; it isn’t an agreement. It isn’t a deposit into an account, which is simply placing funds somewhere, not resolving a dispute. And it isn’t a court procedure for filing charges, which would be the steps to start criminal or civil proceedings.