Why not use the DialogResult method to close the form?
if(DialogSettingsCancel.ShowDialog() == DialogResult.Yes)
{
//this will close the form but will keep application open if your
//application type is "console" in the properties of the project
this.Close();
}
For this to work however you will need to do it inside your "WindowSettings" form while you call the DialogSettingsCancel form. Much the same way you would call the OpenFileDialog, or any other Dialog form.