Settlement Fundamentals and Tactics (CA)

A settlement agreement reached before a lawsuit is formally filed.

A contract that terminates a claim against a person or entity.

A contract or agreement that concludes a legal dispute.

Core concepts and tactics for negotiating and finalizing settlements in California litigation, including pre-suit, post-complaint, and post-judgment settlements.

Legal proceedings in California courts.

Methods of negotiation and strategy used to resolve a dispute in legal proceedings.

Pre-suit settlements are finalized through a release, a formal agreement to end a claim.

Often prepared by defendant's counsel or insurance carrier.

A settlement of a legal claim against a defendant, typically discharging the defendant unless the terms state otherwise.

A settlement agreement that requires the terms to remain secret, unless the parties mutually agree.

Commonly expected written agreement clauses (integration, counterparts, confidentiality, governing law, dispute resolution).

A clause in a settlement agreement addressing the payment of attorney fees if there's a breach.

A release of 'all claims'—can be limited if the releasor was misled or had a misunderstanding of the settlement scope.

Attorneys need explicit authority to settle a case; settlement authority isn't implied.

Settlement and releases in tort cases can affect claims against other defendants.

Settlement is invalid if one party was fraudulently induced to sign a release.

A settlement agreement where dismissal of the case depends on fulfilling specific terms that are not completed within 45 days of settlement.

A settlement agreement where dismissal of the case occurs automatically 45 days after the settlement date, regardless of whether the plaintiff or other party files a request.

A formal document filed with the court by a plaintiff or party seeking affirmative relief, requesting the dismissal of the case.

A court order demanding an explanation from a party as to why a case should not be dismissed.

A valid reason justifying a delay in dismissal or a deviation from the typical procedures.

Specific terms or requirements that must be met for the dismissal of a case, often beyond the initial 45-day period.

Formal documents filed with the court to request an extension of time for dismissal, providing reasons and a proposed new date.

Settlements involving minors or individuals with disabilities require court approval, preventing automatic dismissal.

A settlement agreement reached during a court hearing where the judge may question the parties to ensure they understand the terms, have no further questions, and accept the agreement. The settlement is generally binding even if the terms are later memorialized in writing.

A judge's decision to postpone the final dismissal of a case, pending the execution of written documents that formalize the settlement agreement reached in court. This gives parties time to finalize details.

A legal action taken when a party refuses to sign the written agreement despite an oral settlement reached in court. It seeks to enforce the previously agreed-upon terms.

The process of setting aside or canceling a previously entered judgment, often sought after a settlement is reached after the judgment is issued.

A situation where a judgment is reversed by agreement of the parties involved. It's subject to strict scrutiny due to potential risks of undermining public trust in the judicial system.

A party who lacks legal capacity (like a minor or someone with a conservator) must be represented by a guardian, conservator, or guardian ad litem appointed by the court.

A person appointed by the court to represent a minor or incompetent person in legal proceedings, ensuring their rights and best interests are protected.

Parties should consider the specific requirements for settling different types of claims, as special procedures may be needed to finalize agreements.

Attorneys must carefully examine settlement terms to ensure they don't violate any laws.

Some settlement terms are unenforceable by the court, like unreasonable liquidated damages or certain confidentiality provisions.

A settlement is a formal agreement between parties, and its content could expose parties to liability for law violations.

The court can retain jurisdiction after dismissal to ensure the settlement terms are fulfilled.

Parties, not their attorneys, must request the court to retain jurisdiction before dismissing the case.

Settlements reached outside of court are officially formalized through a Notice of Dismissal.

The Judicial Council provides a standardized form (CIV-110) for requesting dismissal of a case.

In cases with cross-complaints, the defendant must consent to the dismissal by signing the appropriate section of the dismissal form.

Settlements involving minors or individuals with disabilities require court approval, usually obtained through a petition.

Court approval is needed for class action settlements after notice to potential class members, followed by a fairness hearing.

When one joint tortfeasor is held liable, they can seek contribution or indemnity from other tortfeasors for their share of the judgment, but this can be affected by prior settlements.

Non-settling parties have a right to a hearing to determine the good faith of a settlement between a plaintiff and one or more joint tortfeasors.

A finding of good faith in a settlement will prevent other joint tortfeasors from seeking further contribution or indemnity from the settling party.

Multiple parties who are found liable for a single injury.

When a party who is held liable seeks to recover a portion of the judgment from others who share the responsibility.

When a party who is held liable seeks full reimbursement from others who are ultimately responsible for the harm.