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Letter S
civil procedure

Settlement

An agreement between parties to resolve a dispute without a full trial, often involving the payment of money in exchange for dismissal of claims.

Encyclopedia entry: Settlement

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settlement

A settlement is an agreement that ends a dispute and results in the voluntary dismissal of any related litigation .  Regardless of the exact terms, many parties choose to keep their settlement agreements private. 

In business law, a settlement is the payment, satisfaction, and closing of an account. 

In wills and estates , a settlement is the complete execution of an estate by the executor .

A settlement is also the conveyance of property interests to beneficiaries in a way that alters what they would receive as heirs under statutes of descent and distribution .

[Last reviewed in June of 2024 by the Wex Definitions Team
]

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Encyclopedia content from Cornell LII Wex (CC-BY-NC-SA 2.5).

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This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.