Settlement
A settlement is an agreement by which parties resolve a dispute, often ending pending proceedings with enforceable effect.
In Swiss civil litigation, parties may settle a dispute at any stage, either privately or before the court. A court-recorded settlement typically terminates the proceedings and can have effects comparable to a final decision for enforcement and res judicata within its scope. The parties may agree on substantive concessions, payment terms and allocation of costs. Courts generally respect settlement autonomy but may need to ensure clarity, procedural capacity and legality. Settlement differs from withdrawal or acknowledgment because it is based on reciprocal agreement rather than a unilateral procedural act.