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Settling a Civil Court Claim

Key information for litigants in person

Civil claims · Factsheet 13 of 17

General Information

  • Settlement can occur before or after proceedings
  • Court expects parties to attempt settlement
  • Can be done through informal discussions, ADR, mediation, or formal written offers
  • Consider prospects of success, claim value, and potential costs when deciding to settle
  • Seek initial legal advice if possible
  • Use “without prejudice” or “without prejudice save as to costs” for settlement communications

Part 36 Offers

  • Formal way to settle under Civil Procedure Rules
  • Can be made by claimant or defendant
  • For fast track, intermediate, multi-track claims
  • Can be made before or during proceedings
  • Offers financial incentives to accept
  • Has implications for legal costs
  • Judge unaware of offer until after judgment
  • Usually gives 21 days to accept (relevant period)

Making a Part 36 Offer

  • 1. Use Form N242A or write a clear letter
  • 2. Mark as “without prejudice save as to costs”
  • 3. Specify relevant period (min. 21 days)
  • 4. Clearly state what the offer covers
  • 5. Explain costs implications if accepted
  • 6. If defendant, state payment will be made within 14 days of acceptance
  • 7. Consider potential outcomes carefully

Receiving a Part 36 Offer

  • 1. Consider offer seriously within relevant period
  • 2. Assess claim value and acceptance threshold
  • 3. Consider potential contributory fault
  • 4. Seek legal advice if possible
  • 5. Be aware of costs risks if offer rejected
  • 6. Can accept after relevant period, but may incur additional costs
  • 7. Use Form N242A or write clear acceptance letter

Key Considerations

  • Carefully assess the strengths and weaknesses of your case before making or accepting offers
  • Be aware of potential costs implications, especially if rejecting reasonable offers
  • Consider seeking legal advice to help evaluate offers and understand implications
  • Remember that settling can save time, money, and stress compared to going to trial
  • Keep all settlement communications clearly marked as “without prejudice”
  • Be prepared to justify your position if you reject an offer and proceed to trial
  • If unable to settle, ensure you’ve followed pre-action protocols and court rules
Reviewed
August 2026
Source
Download this factsheet as a PDF 13-How-to-settle-a-claim.pdf · 1 page
Related
Settling Civil Court Claims: A Guide for Litigants in Person

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