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A declaratory judgment is a binding judgment from a court defining the legal relationship between parties and their rights in a matter before the court. When there is uncertainty as to the legal obligations or rights between two parties, a declaratory judgment offers an immediate means to resolve this uncertainty.
Synonyms: declarative, enunciatory, demonstrative, descriptive, explanatory, explaining, asserting, assertive , stating, proclamatory, announcing.
: serving to declare, set forth, or explain: as. a. : declaring what is the existing law. b. : declaring a legal right or interpretation.
However, a declaratory judgment is not a ruling on damages or compensation. Parties seeking damages or compensation would need to file a separate lawsuit.
Declaratory relief aims to clarify legal rights and obligations, while a motion for summary judgment resolves the case without a trial.

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Declaratory judgments are frequently sought in the insurance context, either before or after a claim has been denied. Unlike an injunction, which orders a party to take certain actions, a declaratory judgment simply defines the legal relationship between the two parties under the insurance contract.
It is a form of legally binding preventive by which a party involved in an actual or possible legal matter can ask a court to conclusively rule on and affirm the rights, duties, or obligations of one or more parties in a civil dispute (subject to any appeal).

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