Preliminary approval
Preliminary approval is the judge's first sign-off on a class settlement, which lets notice go out to the class and the claims period begin.
Also called: preliminary approval order, preliminary settlement approval
Preliminary approval is the judge's first sign-off on a class settlement, which lets notice go out to the class and the claims period begin.
What it means
Preliminary approval is the judge's first review of a proposed class action settlement. It happens after the sides agree on a deal and before the class is notified. The judge reads the terms and decides whether the deal is likely to earn final approval.
Under Rule 23(e)(1), the parties must show that the court will likely be able to approve the settlement as fair, reasonable and adequate. If no class has been certified yet, they must also show the court will likely be able to certify one for settlement purposes. If the judge agrees, the court orders notice to everyone the settlement would bind. State courts have similar rules, and the details can differ.
The order usually sets the schedule, including the opt-out and objection deadlines and the date of the final approval hearing. Preliminary approval is a screening step, not a ruling that the deal is fair. That ruling comes later, after the class has had a chance to respond.
What it means for you
Preliminary approval is usually the moment a settlement becomes real for you. The settlement website goes live, notices go out, and you can file a claim, opt out or object. In most cases you can file a claim even though the deal is not final.
Do not wait for final approval to act. Claim deadlines often come before the final hearing. Money moves only after the judge gives final approval and any appeals end. If the court later rejects the deal, a pending claim goes unpaid.
Example
Say a settlement is filed in a case about an unexpected renewal fee on a subscription. The judge reviews it, asks the lawyers to explain how the money will be split and then signs an order granting preliminary approval. The order sets a final hearing several months out and tells the administrator to email notice to former subscribers. A settlement website opens that day with a claim form and a deadline.
FAQ
No. It means the judge thinks the deal will probably be approved and has authorized notice. Payments start only after final approval and after any appeals end.
Usually yes. Claims typically open once the court grants preliminary approval, and the claim deadline often comes before the final hearing. The settlement website lists the exact dates.
Related terms
- Federal Rule of Civil Procedure 23, class actions (Cornell LII)
- Manual for Complex Litigation, Fourth, sections 21.312 and 21.632 (Federal Judicial Center)
- Managing Class Action Litigation: A Pocket Guide for Judges, 3d ed. (Federal Judicial Center, 2010)
- 28 U.S.C. § 1711, class action definitions (Cornell LII)
Updated Oct 18, 2026. Plain-English definitions for general information — not legal or tax advice.