Can I accept part of a settlement now and still pursue more compensation later?: Answered under North Carolina law
Can I accept part of a settlement now and still pursue more compensation later? - North Carolina
Short Answer
Yes—if you clearly limit what you are settling and reserve your remaining claims in writing. In North Carolina, a full and final release usually ends your right to seek more. But you can take partial payments (for example, property damage or a medical-pay advance) or settle with one at-fault party while preserving claims against others, as long as the paperwork explicitly reserves those rights.
Understanding the Problem
You want to know whether, in North Carolina personal injury cases, you can take some money now without giving up the rest of your claim. Here, an attorney is negotiating with an insurer for two injured clients; one offer was accepted and the other is under review. The decision point is whether accepting some money now will waive the ability to pursue additional compensation later.
Apply the Law
Under North Carolina law, settlement documents control. A general release typically bars any further claims from the same incident. However, you can accept partial payments or settle specific pieces of a claim if the agreement clearly limits the scope (for example, property damage only) and expressly reserves all remaining claims and all other potentially responsible parties. Settling with one defendant does not automatically release others, but your remaining claim will be reduced by what you already received. Special approval rules apply if the claim involves wrongful death or a minor/incompetent claimant.
Key Requirements
Clear scope: The release must state exactly what is being settled (e.g., property damage only) and what is not (e.g., bodily injury claims remain open).
Reservation of rights: Include explicit language preserving claims against other parties and for other categories of damages.
No global release: Avoid signing a “full and final” release if you intend to pursue additional compensation.
Multiple defendants: You may settle with one without releasing others; any judgment or remaining claim is reduced by the settlement amount.
Court approval triggers: Wrongful death recoveries are compromised by the personal representative, with judge approval when beneficiaries are not all competent adults consenting; settlements for minors/incompetents require judicial approval to be binding.
Deadlines still apply: Statutes of limitations continue to run on any unresolved claims; most injury claims are generally three years and wrongful death is generally two years, but exact rules vary by claim type.
Apply the Rule to the Facts: For the client who accepted an offer, whether more compensation is available turns on what they signed. If it was a full and final release of all claims from the incident, further recovery is typically barred. If the signed agreement was limited (for example, property damage only) and expressly reserved bodily injury claims, additional compensation may still be pursued. For the client under review, a partial payment can be taken now if the written terms reserve all unresolved claims and all non-settling parties.
Process & Timing
Who files: Typically the injured person (through counsel). Where: Pre-suit with the insurer; if court approval is required (wrongful death or minor/incompetent), a judge in the Superior Court division in the appropriate North Carolina county. What: A written settlement agreement using a limited release or covenant not to sue that expressly reserves remaining claims; for approvals, a verified petition/motion with proposed order. When: Before signing any full release and before the statute of limitations expires; court approvals are obtained before funds are disbursed.
After execution of a limited agreement, the insurer issues the partial payment. Counsel addresses any known lien or subrogation issues tied to that payment while continuing to document remaining damages.
For any remaining claims, continue negotiations or file suit before the limitations period runs. If wrongful death or a minor/incompetent is involved, obtain the required judicial approval to finalize any settlement.
Exceptions & Pitfalls
Signing a general “full and final” release will usually waive all further claims from the incident—even if new medical issues arise later.
Checks or cover letters marked “payment in full” can create an accord and satisfaction; do not cash them unless the agreement truly reflects a limited, reserved settlement.
Failing to use explicit reservation-of-rights language can unintentionally release other defendants or other categories of damages.
Wrongful death or minor/incompetent settlements typically require judicial approval; without it, the settlement may not be binding.
Liens (e.g., health insurers, Medicare/Medicaid) can attach to proceeds; partial payments should be coordinated to avoid lien or allocation issues.
Conclusion
In North Carolina, you can accept part of a settlement now and still pursue more later if your agreement clearly limits what you are resolving and expressly reserves all other claims and parties. Avoid any full and final release if you intend to continue your claim. If the case involves wrongful death or a minor/incompetent, secure judicial approval. The next step is to have your insurer issue a limited release that reserves rights and to calendar your filing deadline.
Talk to a Personal Injury Attorney
If you're weighing a partial settlement and want to keep the rest of your injury claim open, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at 919-341-7055.
Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.
