If an action is settled prior to the arbitration hearing, the attorneys shall so report to the civil division manager and an order dismissing the action shall be entered. The provisions of R. 4:58 shall not apply to arbitration proceedings.
Rule 4:21A-3.Settlements; Offer of Judgment
Last amended September 1, 2004 · Current through June 18, 2026 · Last verified July 7, 2026
In one sentenceRule 4:21A-3 directs that a case settled before the arbitration hearing be reported to the civil division manager and dismissed, and provides that the offer-of-judgment rule does not apply to arbitration proceedings.
Full Text of Rule 4:21A-3
Amendment History
New Jersey publishes each rule’s amendment record in a “History” note beneath the rule. It is reproduced verbatim below; the “R.R.” citations refer to the former Revised Rules numbering the current rules replaced.
Adopted November 1, 1985 to be effective January 2, 1986; amended July 10, 1998 to be effective September 1, 1998; amended July 28, 2004 to be effective September 1, 2004.
Plain-English Summary
Cases often settle before the arbitration hearing arrives. When that happens, this rule requires the attorneys to report the settlement to the civil division manager, and an order dismissing the action is entered.
The rule also keeps one incentive mechanism out of arbitration. The offer-of-judgment rule, Rule 4:58, with its fee-and-cost consequences, does not apply to arbitration proceedings.
Frequently Asked Questions
What happens if a case settles before the arbitration hearing?
The attorneys report the settlement to the civil division manager, and an order dismissing the action is entered. The offer-of-judgment rule does not apply to arbitration proceedings.
Source & verification. The rule text and amendment history are reproduced verbatim from the
official New Jersey Rules of Court (N.J. Ct. R. 4:21A-3). Prescribed by the Supreme Court of New Jersey (N.J. Const. art. VI, § 2, ¶ 3). The plain-English summary is original and written by us. Last verified July 7, 2026. ·
Official source
Also known as: settlement before arbitrationoffer of judgment not applicablearbitration settlement