New Jersey Statutes

N.J. Stat. § 34:15-20 (2026)

Dispute; submission to division; order approving settlement

✓ current as of May 2026
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In case of a dispute over or failure to agree upon a claim for compensation between employer and employee, or the dependents of the employee, either party may submit the claim, both as to the questions of fact, the nature and effect of the injuries, and the amount of compensation therefor according to the schedule herein provided, to the Division of Workers' Compensation, as prescribed in article 4 of this chapter (section 34:15-49 et seq.). After a petition for compensation or dependency claims has been filed, seeking compensation by reason of accident, injury or occupational disease of any employee, and when the petitioner is represented by an attorney of the State of New Jersey, and when it shall appear that the issue or issues involve the question of jurisdiction, liability, causal relationship or dependency of the petitioner under this chapter, and the petitioner and the respondent are desirous of entering into a lump-sum settlement of the controversy, a judge of compensation may with the consent of the parties, after considering the testimony of the petitioner and other witnesses, together with any stipulation of the parties, and after such judge of compensation has determined that such settlement is fair and just under all the circumstances, enter "an order approving settlement." Such settlement, when so approved, notwithstanding any other provisions of this chapter, shall have the force and effect of a dismissal of the claim petition and shall be final and conclusive upon the employee and the employee's dependents, and shall be a complete surrender of any right to compensation or other benefits arising out of such claim under the statute. Any payments made under this section shall be recognized as payments of workers' compensation benefits for insurance rating purposes only.

Amended by L.1979, c. 283, s. 8, eff. Jan. 10, 1980.

Notes of Decisions
Cited in 13 cases (3 in the last 5 years), 1988–2024 · leading case: Rodlin v. Sec'y of Health & Human Servs., 750 F. Supp. 146 (D.N.J. 1990).
Rodlin v. Sec'y of Health & Human Servs., 750 F. Supp. 146 (D.N.J. 1990). · cites it 8× “On April 20, 1987, plaintiff reached a settlement with the state pursuant to N.J.Stat.Ann. § 34:15-20 (West 1988). This agreement provided that the state would pay plaintiff a $35,000.”
Guiseppe SCIAROTTA, Appellee, v. Hon. Otis R. BOWEN, Sec'y of the Dep't of Health & Human Servs., Appellant, 837 F.2d 135 (3rd Cir. 1988). · cites it 2× “See N.J.Stat. Ann. § 34:15-20 (West Supp.1987).”
Maddox v. City of Newark, 50 F. Supp. 3d 606 (D.N.J. 2014). “00 pursuant to N.J.S.A. 34:15-20. Id. ¶¶ 106 (citing Ex.”
Gnatkiv v. Machkur, 372 P.3d 1010 (Ariz. Ct. App. 2016). “N.J. Stat. Ann. § 34:15-20 . The Division’s approval of such a settlement has the effect of dismissing the claim petition.”
Sperling v. Bd. of Review, 693 A.2d 901 (N.J. Super. Ct. App. Div. 1997). “Receipt of a lump sum settlement under N.J.S.A 34:15-20 constitutes an implied acknowledgment that the claimant’s disability was work-related and compensable under the Workers’ Compensation Act.”
MARIO RIVERA v. Comm'r of Soc. Sec., 102 F. Supp. 2d 545 (D.N.J. 2000). · cites it 11× “The plaintiff appeals the Commissioner’s decision, contending that the Commissioner used an incorrect legal standard.”
Kirandeep Kaur Vs. Garden State Fuels, Inc. (l-1144-15, Gloucester Cnty. & Statewide) (N.J. Super. Ct. App. Div. 2019). · cites it 3× “1 Woodbury, Goyal, Saini, and plaintiff, through counsel, resolved plaintiff's petition and incorporated their settlement into a proposed order approving the settlement under N.J.S.A. 34:15-20 (Section 20) of the Act.”
Margarita Soriano, Etc. Vs. 70 Hudson Street Realty, LLC (l-3086-15, Hudson Cnty. & Statewide) (N.J. Super. Ct. App. Div. 2019). · cites it 3× “The court then found "no evidence in the motion 9 N.J.S.A. 34:15-20. A-0490-17T3 10 record .”
Victor Campos Vs. Miguel Cruz (l-3602-15, Passaic Cnty. & Statewide) (N.J. Super. Ct. App. Div. 2018). · cites it 3× “On June 13, 2016, the parties to the workers' compensation action agreed to an "Order Approving Settlement with Dismissal" pursuant to N.J.S.A. 34:15-20 (Section 20). The trial court dismissed plaintiff's complaint on summary judgment, finding plaintiff's claims were barred by…”
Robert Alam v. Ameribuilt Contractors (Div. of Worker's Comp.) (N.J. Super. Ct. App. Div. 2022). · cites it 3× “Because of the disputed liability, the parties agreed that a lump sum settlement for a dollar figure under N.J.S.A. 34:15-20 (Section 20) was appropriate.”
Sylvia Melania Tejada De Tapia v. 74 Indus., Inc. (N.J. Super. Ct. App. Div. 2024). · cites it 3× “(74 Industries), A-2643-21 2 which was settled pursuant to an order approving settlement with dismissal under N.J.S.A. 34:15-20 (the Section 20 Settlement).”
Shirley Ramella Vs. Borough of Seaside Heights (Div. of Workers' Comp.) (N.J. Super. Ct. App. Div. 2019). “Moreover, pursuant to N.J.S.A. 34:15-20, a judge of compensation, after hearing testimony and/or reviewing stipulations of the parties, must determine that a settlement is "fair and just under all the circumstances" before entering an order requiring the payment of settlement…”
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