The Agreement For Settlement Of Dispute is a crucial legal instrument used in the United Arab Emirates when parties wish to formally resolve their disputes without continuing or commencing litigation or arbitration. This document is particularly relevant in the UAE's business environment, where maintaining commercial relationships while resolving disputes is highly valued. The agreement must comply with UAE Federal Law No. 5 of 1985 (Civil Code), specifically Articles 722-757 governing settlements, and should consider both civil law principles and Sharia requirements for enhanced enforceability. It typically includes detailed terms of settlement, payment provisions, mutual releases, and confidentiality obligations, while being structured to ensure recognition and enforcement within the UAE court system. The document is essential for businesses and individuals seeking to document dispute resolutions effectively while maintaining legal certainty under UAE law.
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1. Parties: Identification of all parties to the settlement, including full legal names, addresses, and registration details if companies
2. Background: Description of the dispute, including reference to any legal proceedings, claims, or circumstances leading to the settlement
3. Definitions: Definitions of key terms used throughout the agreement
4. Settlement Sum: Clear statement of the settlement amount (if any) and payment terms
5. Settlement Terms: Detailed description of all settlement obligations, including actions to be taken by each party
6. Mutual Release: Comprehensive release of claims between the parties
7. Confidentiality: Obligations regarding confidentiality of the settlement terms and dispute
8. Tax and Costs: Allocation of tax liabilities and legal costs
9. Representations and Warranties: Basic warranties about authority to settle and binding nature of agreement
10. Governing Law and Jurisdiction: Specification of UAE law as governing law and jurisdiction for enforcement
11. General Provisions: Standard boilerplate clauses including entire agreement, amendments, and severability
1. Non-Disparagement: Mutual obligations not to make negative statements - particularly relevant in employment or commercial disputes
2. Future Cooperation: Terms for ongoing relationship or cooperation - useful in business relationship disputes
3. Return of Property: Provisions for returning documents or property - relevant where physical items are involved
4. Non-Admission of Liability: Express statement that settlement does not constitute admission - useful in contentious disputes
5. Installment Payment Terms: Detailed payment schedule - needed for settlements with multiple payments
6. Third Party Rights: Provisions affecting related parties or subsidiaries - relevant in complex corporate disputes
7. Insurance and Indemnity: Additional protection clauses - useful in disputes involving ongoing risks
8. Sharia Compliance: Specific provisions ensuring compliance with Islamic law - relevant for Islamic finance disputes
1. Payment Schedule: Detailed breakdown of payment amounts and dates if installment payments are involved
2. List of Released Claims: Comprehensive list of all claims being settled and released
3. Related Proceedings: Details of any court or arbitration proceedings to be withdrawn
4. Form of Release: Template for any additional release documents required
5. Corporate Authorizations: Copies of corporate approvals or board resolutions authorizing settlement
6. Settlement Calculation: Detailed calculation of settlement sum including interest and costs
7. Form of Announcement: Agreed form of any public or private announcements regarding settlement
Authors
Relevant legal definitions
Clauses
Relevant Industries
Banking and Financial Services
Real Estate and Construction
Oil and Gas
Manufacturing
Retail and Consumer
Technology and Communications
Healthcare
Transportation and Logistics
Professional Services
Hospitality and Tourism
Education
Maritime and Shipping
Relevant Teams
Legal
Compliance
Risk Management
Finance
Corporate Secretariat
Commercial Operations
Business Development
Executive Leadership
Treasury
Corporate Communications
Relevant Roles
Legal Director
Chief Legal Officer
General Counsel
Dispute Resolution Manager
Compliance Officer
Risk Manager
Commercial Director
Chief Financial Officer
Corporate Secretary
Settlement Officer
Claims Manager
Legal Counsel
Contract Manager
Business Development Director
Chief Executive Officer
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