Settlement Term Sheet
Settlement Agreement Term Sheet
Prepared by: [Your Name]
I. Introduction
This Term Sheet (the "Agreement") is entered into as of [Effectivity Date], by and between BoldCo Inc. ("Plaintiff") and DynamicCorp Ltd. ("Defendant"), collectively referred to as the "Parties." This Agreement sets forth the terms and conditions governing the settlement of any claims and disputes between the Parties arising out of a breach of contract regarding the delivery of widgets.
II. Payment Terms
Settlement Amount: The Parties agree that Defendant shall pay to Plaintiff the sum of $100,000 as full and final settlement of all claims asserted or which could have been asserted by Plaintiff against Defendant.
Payment Schedule: The Settlement Amount shall be paid in three (3) installments, with each installment payable monthly beginning on [Start Date]. The final installment shall be paid no later than [End Date].
Method of Payment: Payments shall be made via wire transfer to the following account: Acme Bank, BoldCo Inc. Settlement Account, Account Number: 123456789, Routing Number: 987654321.
III. Release of Claims
Mutual Release: Upon receipt of the Settlement Amount in full, Plaintiff hereby releases and forever discharges Defendant and its affiliates, officers, directors, employees, agents, successors, and assigns from all claims, demands, liabilities, actions, or causes of action arising out of or relating to the breach of contract for widget delivery.
No Admission of Liability: The Parties mutually acknowledge and concur that the formulation and execution of this Agreement are carried out without either Party admitting or accepting any form of liability, fault, or wrongdoing.
IV. Confidentiality
Confidentiality Obligations: The Parties agree to keep the terms and existence of this Agreement confidential and shall not disclose any information regarding this Agreement to any third party, except as required by law or court order.
Exceptions: Notwithstanding the foregoing, either Party may disclose the terms of this Agreement to their attorneys, accountants, or other professional advisors on a need-to-know basis.
V. Dispute Resolution
Governing Law: This Agreement will be governed by and interpreted under the laws of the State of California, without giving effect to any principles of conflicts of law.
Mediation: Any dispute arising out of or relating to this Agreement shall be subject to mediation administered by a mutually agreed-upon mediator in Los Angeles, California.
Arbitration: If mediation is unsuccessful, the Parties agree to submit the dispute to binding arbitration under the rules of the American Arbitration Association. The arbitration shall take place in San Francisco, California.
VI. Miscellaneous
Entire Agreement: This Agreement constitutes the entire understanding and agreement between the Parties concerning the subject matter hereof and supersedes all prior and contemporaneous agreements and understandings, whether written or oral.
Amendment: This Agreement may only be amended in writing and signed by both Parties.
Counterparts: This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute the same instrument.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first above written.
