What is the effect of a dismissal without prejudice?

A dismissal without prejudice allows the party who initiated the lawsuit to refile the same action in the future. This type of dismissal effectively means that the case has been terminated, but it does not impose a final judgment or bar the plaintiff from bringing the same claim again. The plaintiff retains the right to pursue their case if they choose to do so later, perhaps after addressing any issues that may have caused the initial dismissal.

In contrast, a dismissal with prejudice would bar the plaintiff from refiling the same claim, as it signifies that the case has been decided on its merits. Other options may imply limitations or obligations that do not align with the nature of a dismissal without prejudice. The flexibility offered by this type of dismissal is important for plaintiffs who may need more time to prepare their case or seek additional evidence.