settlementset·tle·ment /ˈsetlmənt/ noun1[countableC, uncountableU] an official agreement or decision that ends an argument between two people or organizationsAfter 15 years of litigation, appeals lawyers reached a settlement with the insurance company.
The inflation rate fell, reflecting recent lowwage settlements.
increases in public sector pay settlements
2[countableC, uncountableU]FINANCE the payment of money that someone owesThe company made afull and final settlement of £30 million.
Non-US residents are prepared to use the dollarin settlement of debts.
3[uncountableU]FINANCE the process of making payments relating to cheques, buying investments etcSYN CLEARINGThe Bank of England and the London Stock Exchange developed a computerised settlement system for transactions in gilt-edged securities.
→ cash settlement → rolling settlement