Sec. 410.256. COURT APPROVAL OF SETTLEMENT. (a) A claim or issue may not be settled contrary to the provisions of the appeals panel decision issued on the claim or issue unless a party to the proceeding has filed for judicial review under this subchapter or Subchapter G. The trial court must approve a settlement made by the parties after judicial review of an award is sought and before the court enters judgment. (b) The court may not approve a settlement except on a finding that: (1) the settlement accurately reflects the agreement between the parties; (2) the settlement adheres to all appropriate provisions of the law; and (3) under the law and facts, the settlement is in the best interest of the claimant. (c) A settlement may not provide for: (1) payment of any benefits in a lump sum except as provided by Section 408.128 ; or (2) limitation or termination of the claimant's right to medical benefits under Section 408.021 . (d) A settlement or agreement that resolves an issue of impairment may not be made before the claimant reaches maximum medical improvement and must adopt one of the impairment ratings under Subchapter G , Chapter 408 . (e) A party proposing a settlement before judgment is entered by the trial court may petition the court orally or in writing for approval of the settlement. (f) Settlement of a claim or issue under this section does not constitute a modification or reversal of the decision awarding benefits for the purpose of Section 410.209 . (g) Settlement of a claim or issue must be in compliance with all appropriate provisions of the law, including this section and Section 410.258 of this subchapter. A settlement which on its face does not comply with this section is void.
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