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"settlement negotiations" is correct and usable in written English.
You can use it to refer to talks between two (or sometimes more) parties with the aim of arriving at an agreement to settle a dispute. For example: "The two sides began settlement negotiations in the hopes of avoiding a long and costly court battle."
Exact(60)
During the settlement negotiations banks were reluctant to initiate foreclosures.
Settlement negotiations have taken place, but have gotten nowhere.
He declined to discuss particulars of the settlement negotiations.
The two sides were in settlement negotiations, Mr. Cooper said.
Legal experts said the ruling would strengthen the plaintiffs' leverage in settlement negotiations.
At the same time, that doesn't mean that negotiations or settlement negotiations couldn't continue.
Settlement negotiations have been going on between BP, federal and state officials and plaintiffs' attorneys.
A recent estimate from the settlement negotiations put the average aid for homeowners at $20,000.
A representative for Ms. Sherrod said settlement negotiations were continuing despite Mr. Breitbart's death.
Neither side went so far as to characterize the several discussions held as settlement negotiations.
The city's lawyer, Kenneth S. Sasmor, said the settlement negotiations "involved a variety of considerations".
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com