What is an offer of judgment?

An offer of judgment is a legal technique used in arbitration law in Texas. It is a formal offer made by one party in a dispute to settle the case on certain terms. The offer contains the amount of money the offering party will pay or accept to settle the case. The purpose of an offer of judgment is to allow for a reasonable and cost-effective resolution to the dispute. It is also a way for the parties to avoid the costs of expensive litigation. The offer is made under the Rules of Civil Procedure and is binding if accepted by the other party. If either party rejects the offer of judgment, then the parties will proceed with the arbitration process. Once the arbitration is complete, the offering party is generally not allowed to make another offer of judgment unless the circumstances have changed significantly. Under Texas law, an offer of judgment is binding if accepted by the other party. The other party has to waive their right to an arbitration hearing and accept the terms of the offer. If accepted, the offer of judgment will be the final resolution of the dispute, and the parties will no longer be able to make claims or pursue legal action against each other.

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What is an offer of judgment?

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