Stipulation of Dismissal and Proposed Order
(Settlement) (NJ)

This template stipulation of dismissal and proposed prder may be used in a New Jersey civil case to dismiss a case with prejudice upon settlement. It includes practical guidance, drafting notes, and an optional clause. Following the settlement of an action, you must file a stipulation of dismissal signed by all the parties in order to officially terminate the lawsuit. N.J. Ct. R. 4:37-1. The stipulation of dismissal will not be effective unless it indicates unequivocally that the parties have agreed to a dismissal. In multi-party litigation, the parties may stipulate to dismiss only some of the defendants. As well, the parties may stipulate to dismiss only some of the claims. When a stipulation is made with prejudice, as it is in this template, the voluntary dismissal has the same res judicata effect as a final adjudication on the merits adverse to the plaintiff. Alan J. Cornblatt, P.A. v. Barow, 153 N.J. 218, 243 (1998). A plaintiff may also voluntarily dismiss its action without a court order before an answer or summary judgment motion is on file simply by filing a notice of dismissal. N.J. Ct. R. 4:37-1(a). A counterclaimant, cross-claimant, or third-party plaintiff may voluntarily dismiss its action without a court order before a responsive pleading is served. N.J. Ct. R. 4:37-3. For a full listing of key content covering fundamental civil litigation tasks throughout a New Jersey state court litigation lifecycle, see Civil Litigation Fundamentals Resource Kit (NJ). For more information about settlement, see Settlement Fundamentals and Tactics (NJ). For a template, see Settlement Agreement and Release of Claims (Commercial Dispute) (NJ). For information on moving to dismiss a case, see Motion to Dismiss: Making the Motion (NJ).