If you received the settlement funds in 2017, you have to report this income in 2017.
Individuals are "cash-basis" taxpayers - they are taxed on income in the year they actually receive the cash (minor exception for checks received in the first few days of a new year).
If the W-2 and Form 1099-MISC are reporting the same income (in whole or in part), you will want to make an adjustment to avoid double-taxation. If that is the case, please update this post with a comment and provide specific details (no personal information, please - just box and income information).
