LawMeaning

Stipulation

From the Latin Latin: stipulatio, meaning 'a formal promise or agreement.'.

In one sentence

An agreement between parties to settle a disputed fact or legal issue.

Plain English

A stipulation is when both sides in a lawsuit or contract dispute agree to accept something as true or settled, without needing to prove it in court. It's a shortcut that saves time and money by removing the need to argue about certain facts. Once both parties stipulate to something, the court treats it as established fact.

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Example

In a car accident lawsuit, both the plaintiff and defendant stipulate that the traffic light was red when the defendant entered the intersection. Neither side needs to call witnesses or present evidence about the light's color; the court accepts it as fact and moves on to other disputed issues.

Used in a sentence

“The two companies reached a stipulation that the defective product caused at least $50,000 in damages, so they could focus their trial on liability.”

Related terms

Contract Interpretation
The process of determining what a contract's words and terms actually mean.
Material Fact
A fact that significantly affects a party's rights, obligations, or decision-making in a contract.
judgment
The court's final decision in a criminal case, determining guilt or innocence and imposing sentence.
Alternative Dispute Resolution (ADR)
Methods of resolving disputes outside traditional court litigation, such as arbitration, mediation, or negotiation.
Evidence
Information, documents, or physical items presented in court to prove or disprove facts.
chambers conference
A private meeting between the judge and lawyers, held in the judge's office rather than open court.
Offer
A proposal to enter into a binding agreement on specific terms.
Acceptance
Agreeing to the exact terms of an offer, creating a binding contract.

This page is a plain-English reference and is not legal advice. Laws vary by jurisdiction and change over time. For specific situations consult a licensed attorney.