Except as provided in s. 93.20, upon settlement of an action no greater sum may be demanded for costs than at the rate prescribed in this chapter.
814.16.Settlement, costs on.
Ch. 814: Court Costs, Fees, and Surcharges · Last amended 1991 · Last verified July 15, 2026
In one sentenceSection 814.16 caps what can be demanded for costs when a case settles, limiting the amount to the rate the rest of the chapter prescribes, except where section 93.20 provides otherwise.
Full Text of Section 814.16
Plain-English Summary
Section 814.16 keeps settlement from becoming a backdoor around the cost limits the rest of chapter 814 sets. Once an action settles, no greater sum may be demanded for costs than the rate this chapter prescribes for that kind of case. A party cannot use the leverage of a settlement negotiation to extract cost payments beyond what a court would have awarded had the case been litigated to judgment.
The section carves out one exception: it applies except as provided in section 93.20. Where that other statute governs, its terms control instead of the general cap this section sets.
Frequently Asked Questions
Can a party demand more for costs in a settlement than a court would have awarded?
No, not as a general matter. Section 814.16 caps what can be demanded for costs upon settlement at the rate prescribed elsewhere in this chapter.
Does this cap on settlement costs apply in every case?
Not every case — section 814.16 applies except as provided in section 93.20, which governs a specific category of situations differently.
What rate governs how much can be demanded for costs on a settlement?
The rate prescribed in chapter 814, the same chapter that sets the general rules for taxing and awarding costs in Wisconsin civil actions.
Does section 814.16 prevent parties from settling for whatever total amount they agree to?
The section speaks specifically to the sum demanded for costs, not to the overall settlement amount the parties negotiate for the underlying claim.
Why would Wisconsin law cap costs demanded on a settlement instead of leaving it to negotiation?
The section does not explain its purpose, but tying the settlement-cost demand to the same rate that would apply after full litigation keeps the cost component of a settlement consistent with what the statute otherwise allows.
Amendment History
History: Sup. Ct. Order, 67 Wis. 2d 585, 761 (1975); Stats. 1975 s. 814.16; 1991 a. 39.
Source & verification. Section text and official notes are
reproduced verbatim from the Wisconsin Statutes, published by the
Wisconsin Legislature (Legislative Reference Bureau). Last verified July 15, 2026.
· Official source
Also known as: wisconsin costs on settlement cap814.16 settlement costs limithow much can be demanded for costs on settlement wisconsinsection 93.20 exception costs