A formal decision made by a court regarding the rights and liabilities of parties in a legal case.

• A. Judgement
• B. Verdict
• C. Decree
• D. Ruling

Answer: (A)

The formal decision that settles the parties’ rights and liabilities is the judgment. It is the court’s official ruling on the merits of the case, specifying who owes what and what relief or damages are to be awarded. This often follows a trial, where a jury may determine facts (a verdict), and the judge then enters a judgment based on those facts and the applicable law. A verdict, by contrast, is the jury’s finding on factual questions, not the final decision the court renders about rights and obligations. A decree is a specific type of court order that settles rights or directs actions in certain kinds of cases, especially in equity or family matters, while a ruling is a decision on a particular point of law or procedure during the proceedings. Therefore, the described scenario best matches a judgment.