This summary is not the rule. The rule text controls.
If both sides in a small claims case agree to settle before trial, that agreement needs to be put in writing. Both the person who filed the case (the plaintiff) and the person being sued (the defendant) must sign it.
Once signed, the written settlement gets filed with the court clerk. A judge then reviews and approves it. After that happens, it gets recorded in the court's official record, just like any other judgment.
This matters because once the settlement is approved and recorded, it carries the same legal weight as if a judge had decided the case after a trial. That means it can be enforced the same way a judgment would be, so both sides need to take the agreement seriously before signing.
