A settlement offer or offer to settle is a term used in a civil lawsuit to describe a communication from one party to the other suggesting a settlement - an agreement to end the lawsuit before a judgment is rendered.
Attorneys typically negotiate terms of a settlement on behalf of their clients, so a settlement offer is usually conveyed by one party's attorney directly to the other party's attorney.
In the English Law, Part 36 of the Civil Procedure Rules governs this area.
In the US, evidence of settlement discussions generally, and of settlement offers specifically, is generally inadmissible in court. This is a policy-based exclusion, intended to encourage the settlement of cases out of court, thus freeing up the resources of the court system.
In Australia and the United Kingdom, offers of settlement may be called Calderbank Offers, Calderbank Letters and Offers of Compromise and often have a major impact on the allocation, by courts, of legal costs between parties.
Famous quotes containing the words settlement and/or offer:
“A Tory..., since the revolution, may be defined in a few words, to be a lover of monarchy, though without abandoning liberty; and a partizan of the family of Stuart. As a Whig may be defined to be a lover of liberty though without renouncing monarchy; and a friend to the settlement in the protestant line.”
—David Hume (1711–1776)
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—Marian Edelman Borden (20th century)