A ten-year-old legal battle came to a close when a federal judge awarded the apartment building residents a financial package to compensate them for damage caused by settlement of the foundation after construction was complete.
Which does settlement mean as used in this passage?

Select one of the options below as your answer:
A. a colony, dependent upon its sponsor for survival
B. a community
C. a legal agreement resolving a dispute
D. the slow sinking of a building

Question

A ten-year-old legal battle came to a close when a federal judge awarded the apartment building residents a financial package to compensate them for damage caused by settlement of the foundation after construction was complete. 
Which does settlement mean as used in this passage? 

Select one of the options below as your answer:
 A. a colony, dependent upon its sponsor for survival  
B. a community 
C. a legal agreement resolving a dispute 
D. the slow sinking of a building

anonymous · Answer

D.

The foundations of a new building may take time to 'settle', meaning that there can be some movement in them and this can lead to damage such as cracked or bowing walls.

Settlement is a recognised term in the UK, I've heard it used many times.