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What is the difference between a judgment and a settlement?

 

A: A judgment is a decision made by a court. It is usually either "judgment for the plaintiff in the amount of $XX" or "judgment for the defendant."

A settlement is a voluntary agreement between the injured party and (usually) the insurance company for the defendant to resolve the case (end the case/dismiss the case) in return for a lump sum payment of a certain amount of money.