What is an offer of settlement used for?

An offer of settlement is primarily used to reach an agreement without going to trial. This is often a strategic decision made by parties involved in a legal dispute; they may want to avoid the risks and costs associated with a trial process. Settlements can save time, reduce legal fees, and provide a level of certainty and control over the outcome for both parties.

In a legal context, an offer of settlement typically includes the terms that one party proposes to resolve the dispute. If both parties agree on these terms, they can finalize a settlement agreement, which would prevent the need for a court trial. This method of dispute resolution is commonly employed to streamline the process and mitigate the uncertainties involved in litigation.

Other options, such as altering an existing contract, proposing a litigation strategy, or negotiating payment terms post-trial, do not specifically pertain to the primary purpose of an offer of settlement, which is to resolve a dispute amicably and efficiently before escalating to more formal legal proceedings.