Can the plaintiff offer the defendant a settlement and release in small claims

Yes, the plaintiff can always offer the person suing him/her, the defendant, a settlement with a release before they appear in the small claim courtroom. They also can settle while in front of the judge during the proceedings. The settlement forms can be found online for each particular state or at the courthouse you are appearing in. If you need more information, you can contact the small claims court you are going to appear in, for the laws in the county/state where you are going to appear. 

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