Nothing in this article shall be construed to limit the right of a plaintiff, defendant or defendants and any insurer to settle dental, medical or podiatric malpractice claims as they consider appropriate and in their complete discretion.
§ 5037.Settlements.
Article 50-A. Periodic Payment of Judgments in Medical and Dental Malpractice Actions · Last amended 1986 · Last verified July 21, 2026
In one sentenceCPLR 5037 clarifies that Article 50-A's structured judgment rules don't restrict the parties' freedom to settle a medical, dental, or podiatric malpractice claim on whatever terms they consider appropriate.
Full Text of CPLR 5037
Plain-English Summary
Article 50-A's detailed formulas for splitting future damages between lump sums and periodic payments apply to judgments entered after trial, and CPLR 5037 makes sure no one mistakes that structure for a constraint on settlement. The section states plainly that nothing in the article limits a plaintiff, a defendant, or multiple defendants and any insurer from settling a malpractice claim as they see fit, in their complete discretion.
That freedom matters because the parties to a settlement might agree to entirely different payment terms than the article would impose on a litigated verdict, whether an all-cash lump sum, their own negotiated structured payment schedule, or some other arrangement. CPLR 5037 confirms that Article 50-A's mandatory formula is a rule for judgments, not a template the parties are locked into when they resolve a claim themselves.
Frequently Asked Questions
Does Article 50-A's structured payment formula apply to settlements?
No. CPLR 5037 states that nothing in the article limits the parties' right to settle a malpractice claim on terms they consider appropriate, in their complete discretion.
Can a malpractice settlement use a different payment structure than a litigated judgment would require?
Yes. Parties settling a claim aren't bound by the lump-sum-and-stream formulas that apply to a judgment entered on a verdict under CPLR 5031.
Who has discretion to agree on settlement terms under CPLR 5037?
The plaintiff, the defendant or defendants, and any insurer involved all retain complete discretion to settle the claim as they consider appropriate.
What types of malpractice claims does CPLR 5037 cover?
It covers dental, medical, or podiatric malpractice claims, consistent with the scope of Article 50-A generally.
Does a court need to approve a malpractice settlement under CPLR 5037?
The section itself doesn't impose an approval requirement; it confirms only that Article 50-A's structured payment rules don't limit how the parties choose to settle.
Amendment History
Add, L 1985, ch 294, § 9, eff July 1, 1985; amd, L 1986, ch 485, § 10, eff July 21, 1986.
Source & verification. Provision text, History, and Advisory
Committee Notes are reproduced verbatim from the Consolidated Laws of New York.
Last verified July 21, 2026.
· Official source
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