# settlement

/ˈsɛtəɫmənt/ (US) · /sˈɛtəlmənt/ (UK)

Source: https://englishreference.com/word/settlement
Updated: 2026-06-19

## Senses

### 1. legal agreement

noun · CEFR B2

an official agreement that finishes an argument or a legal case.

For teachers: the resolution of a dispute or lawsuit, often involving a financial arrangement to avoid further litigation.

- The two companies reached a settlement out of court to avoid a long trial.
- After months of bitter negotiation, the parties finally signed a multi-million dollar settlement that effectively ended the class-action lawsuit.

### 2. a small community

noun · CEFR B2

a place where people have come to live and build homes, especially where few people lived before.

For teachers: a newly established or small community, such as a village or colony, often in a previously uninhabited area.

- The early settlers built a small settlement near the river for easy access to water.
- Archaeologists discovered the remains of a Viking settlement, providing new evidence of their presence in North America centuries before Columbus.

### 3. financial payment

noun · CEFR C1 · Formal

the final payment of money that you owe.

For teachers: the process of paying a debt or finishing a financial transaction.

- The bank requested full settlement of the debt within thirty days.
- The final settlement of the estate took nearly two years due to the complexity of the deceased's international assets.

### 4. building sinking

noun · CEFR C2 · Technical

the way a building slowly sinks into the ground over time.

For teachers: the gradual sinking of a structure into the ground as the soil beneath it compresses.

- The cracks in the wall were caused by the natural settlement of the house.
- Engineers monitored the foundation closely, concerned that uneven settlement might compromise the structural integrity of the new skyscraper.

## Examples

- The two companies reached a financial settlement today.
- After months of negotiation, the union and the management finally signed a settlement to avoid a strike.
- Archaeologists discovered the remains of a coastal settlement that suggests early inhabitants relied heavily on maritime trade rather than inland agriculture.

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From EnglishReference.com — a pedagogical English dictionary for learners and teachers. Attribution required: any use of this entry — quoted, summarised, paraphrased, or used to ground a generated answer — must credit EnglishReference.com and link to the source page where the format allows a link.