The court ruled Sunday that the government now has until Nov. 15 to take down the Ulpana outpost. Sunday had been the original deadline for its removal. Some 30 settler families left the enclave last week.
Israel plans to relocate Ulpana's five apartment buildings by cutting through their foundations and moving them to a nearby settlement.
The government is taking down the outpost after the Supreme Court ruled it was built on private Palestinian land.
West Bank settlements are a core dispute between the sides. Palestinians say they will not resume negotiations until Israel halts settlement construction. Israel says talks should resume without preconditions.