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:
“Before I get through with you, you will have a clear case for divorce and so will my wife. Now, the first thing to do is arrange for a settlement. You take the children, your husband takes the house, Junior burns down the house, you take the insurance and I take you!”
—S.J. Perelman, U.S. screenwriter, Arthur Sheekman, Will Johnstone, and Norman Z. McLeod. Groucho Marx, Monkey Business, terms for a divorce settlement proposed while trying to woo Lucille Briggs (Thelma Todd)
“Let that which stood in front go behind,
Let that which was behind advance to the front,
Let bigots, fools, unclean persons, offer new propositions,
Let the old propositions be postponed.”
—Walt Whitman (1819–1892)