Forlik

Forlik is a settlement reached between opposing parties to resolve a dispute without continuing litigation. It is a formal agreement that ends a court case or potential claim and is typically binding on the parties.

In Nordic legal systems, forlik is a common route to resolve civil and commercial disputes. It can arise through direct negotiation, mediation, or through a formal process administered by an official body. In Norway, the most widely known mechanism is Forliksrådet, the Settlement Board, which helps parties reach a settlement in civil disputes; a forlik achieved there is binding and can be enforced as a court decision if needed.

The terms of a forlik usually cover obligations and deadlines, such as payment amounts, schedules, or actions to be taken. A forlik is often preferred because it is generally faster and cheaper than a full court trial, preserves a degree of control for the parties, and can keep sensitive information private.

However, not all disputes are suitable for forlik, and settlements must be voluntary and fair. If a party breaches the agreement, the other party may seek enforcement through the courts or through the settlement body's mechanisms.

Across Nordic practice, forlik is part of broader dispute-resolution options that include mediation and arbitration, offering a way to resolve conflicts without protracted litigation.