Settlement System
/ˈsɛtlmənt ˈsɪstəm/
Definitions
- (n.) A framework or mechanism that facilitates the finalization and transfer of ownership or obligations between parties, commonly used in financial, legal, or real estate contexts.
The settlement system ensures that transactions are completed securely and accurately.
Forms
- settlement system
Related terms
See also
Commentary
In legal drafting, differentiate settlement systems from clearing systems by focusing on the final transfer of ownership or obligations versus provisional arrangements.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.