settlement

SET-uhl-muhnt /ˈsetəlmənt/
nounB2IELTSSAT
LegalGeneral

An official agreement intended to resolve a dispute or conflict.

A settlement often involves a financial payment or a formal contract that ends a legal case.

The story behind the word. From the verb 'settle', which originally meant to 'seat' someone or to make something 'fixed' or 'stable'. A settlement 'fixes' a problem so it doesn't move anymore.

Word relationships

  • resolution: Resolution is the state of being solved; settlement is the specific agreement that solves it.
  • disagreement: A disagreement is the ongoing conflict that a settlement aims to end.

Commonly confused with

  • judgment: A judgment is forced by a judge; a settlement is usually agreed upon by both parties.

Word family

  • settle (verb): To reach an agreement or resolve a dispute.

Collocations

  • reach a settlement
  • out-of-court settlement
  • settlement agreement

Example sentences

  • "The parties reached a settlement out of court, avoiding a public trial." Legal news
  • "The union leaders are reviewing the latest settlement offer from the company." Labor

Memory hook

Settlement: You 'settle' the score and 'settle' into a chair because the work is done. Settlement = Final deal.

When not to use

Do not confuse with a 'settlement' meaning a small village or colony.

Fun facts

  • The term 'structured settlement' refers to a legal agreement where money is paid out in installments rather than a lump sum.

Related words

adjudicate, resolution

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