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It means that the court is entering a judgment in favor of the defendant; this often happens in cases where there are counter-claims against the plaintiff for which the court finds in favor of the defendant.
A judgment is nothing more than a decision by a court that has been entered into the public record. In order for that decision to be made, someone must file a lawsuit. You get time to formally Answer (thats a technical term, which is why its capitalized) and fight the lawsuit.
Once the judgment is entered, the creditor now called a judgment creditor can use the courts help to collect the debt. This might include garnishing your paycheck, freezing your bank account, or even trying to take your property. Responding quickly can help you avoid a worse-case scenario.
Enter a judgment means to make a final recording of the decision and the opinion , if the court made one. When the entry is complete depends on the jurisdiction, but entering a judgment usually either occurs after the decision is inserted into the docket or sent to a specified official.