Rule 68.Offer of Settlement or Confession of Judgment; Tender
Group VIII: Provisional and Final Remedies and Special Proceedings · Last amended March 1, 2011 · Last verified July 15, 2026
Full Text of Rule 68
Explanatory Note
Rule 68 was amended, effective March 1, 2011. Subdivision (a) is derived from N.D.R.Civ.P. 68. Paragraph (a)(1) was amended, effective March 1, 2011, to change the time period to make an offer of settlement from 10 to 14 days before a trial begins. Paragraph (a)(3) was amended, effective March 1, 2011, to change the time for making an offer after liability is determined from 10 to 7 days before a hearing. Subdivision (b) is similar to subdivision (a) except the defendant may tender money instead of making an offer of settlement. Unlike the offer of settlement, this can only be made in an action for the recovery of money. Subdivision (c) authorizes a judgment by confession to be entered without commencing an action. This subdivision is the same as Chapter 28-10, NDRC 1943, which previously governed the subject. However, depending upon the
facts of a particular case a confession of judgment may be vulnerable to constitutional attack. See D. H. Overmyer Co. v. Frick Co., 405 U.S. 174, 92 S.Ct. 775, 31 L.Ed.2d 124 (1972).
Early in its history, the North Dakota Supreme Court ruled that the authority to confess judgment must be clear and explicit and must be strictly followed. Rasmussen v. Hagler, 108 N.W. 541 (N.D. 1906).
Rule 68 was amended, effective March 1, 2011, in response to the December 1, 2007, revision of the Federal Rules of Civil Procedure. The language and organization of the rule were changed to make the rule more easily understood and to make style and terminology consistent throughout the rules.
Plain-English Summary
Rule 68(a) lets a party serve an offer of settlement at least 14 days before trial begins, on specified terms and with costs accrued so far, along with a stipulation to dismiss the claim or let judgment be entered accordingly. The opposing party has 14 days after being served to accept in writing; once it does, either side can file the offer, the acceptance, and proof of service, and the clerk enters judgment on the court's order. An unaccepted offer is treated as withdrawn — it doesn't stop a party from making a later offer — and it isn't admissible except in a proceeding to determine costs. A party can also make a settlement offer after liability has been decided but before the amount is determined, serving it at least seven days before the hearing on that amount. The consequence for turning down an offer and doing no better at trial is direct: if the judgment the offeree finally gets isn't more favorable than the unaccepted offer, the offeree pays the costs incurred after the offer was made.
Rule 68(b) offers an alternative in actions for recovery of money: instead of an offer of settlement, a party may tender the full amount it believes the other side is entitled to, plus accrued costs and disbursements, again at least 14 days before trial. If the tender isn't accepted within 14 days, the offeree can't recover costs and disbursements unless it ultimately recovers more than the tendered amount; the offeror's costs and disbursements get deducted from any recovery, and if they exceed the recovery, the offeror gets judgment for the excess instead. Evidence of an unaccepted tender, like an unaccepted offer, isn't admissible except to determine costs.
Rule 68(c) covers something different: a confession of judgment, which lets a defendant consent to judgment being entered without any lawsuit being filed, either for money due or to become due or to secure someone against a contingent liability on the defendant's behalf. It requires a written statement, signed by the defendant and verified by oath, stating the amount and authorizing entry of judgment, along with the underlying facts showing the debt is justly due or describing the contingent liability being secured. The court reviews that statement, and if it's sufficient, orders the clerk to enter judgment; the statement, the order, and the judgment together make up the judgment roll. Execution can issue for installments already due even while future installments remain outstanding, and the judgment stays in place as security for those future installments until they come due.
Frequently Asked Questions
How long before trial must an offer of settlement or a tender be served under Rule 68?
Both must be served at least 14 days before trial begins, though a settlement offer made after liability has already been determined instead needs to be served at least seven days before the hearing on the amount of liability.
What happens if I turn down an offer of settlement and then do worse at trial?
Rule 68(a)(4) requires you to pay the costs incurred after the offer was made if the judgment you finally obtain isn't more favorable than the offer you rejected.
Can the jury hear about an offer of settlement or tender that wasn't accepted?
No. Rule 68 makes evidence of an unaccepted offer or tender inadmissible except in a proceeding to determine costs.
What's the difference between an offer of settlement and a tender under Rule 68?
An offer of settlement under Rule 68(a) can be used in any case and proposes specified terms with a stipulation for dismissal or judgment. A tender under Rule 68(b) is available only in an action for the recovery of money and involves tendering the full amount owed plus accrued costs.
What is a confession of judgment, and how does it differ from being sued?
Under Rule 68(c), a defendant can consent to judgment being entered against them, without a lawsuit ever being filed, by signing a sworn written statement setting out the amount owed or the contingent liability being secured. The court reviews and approves the statement before the clerk enters judgment on it.