TERMS OF SETTLEMENT
(SETTLEMENT AGREEMENT)
THIS SETTLEMENT AGREEMENT (this "Agreement") is made this ________ (the "Effective Date")
BETWEEN
________, of the following address:
________
(hereinafter referred to as the "Claimant" / "Plaintiff" and which expression shall, where the context so admits, include its successors-in-title, personal representatives and assigns) of the one part;
AND
________, of the following address:
________
(hereinafter referred to as the "Defendant" and which expression shall, where the context so admits, include its successors-in-title, personal representatives and assigns) of the other part.
The Claimant and the Defendant may each individually be referred to as a "Party" (which expression shall, where the context so admits, include its successors-in-title, personal representatives and assigns) and collectively as the "Parties".
RECITALS / BACKGROUND
A. The Claimant instituted an action against the Defendant on ________ at the ________, sitting at ________, in Suit No: ________ (the "Suit"). The brief facts of the matter are as follows:
________
B. The Claimant maintains the following causes of action and reliefs (the "Claims"):
________
C. In the Suit, the Claimant seeks, amongst other reliefs, monetary damages in the sum of \u20a6________ (________) as compensation for the loss and damage allegedly suffered by the Claimant.
D. The Parties, being desirous of avoiding the costs, delay and uncertainty of further litigation, have agreed to amicably and finally compromise, settle and resolve all the Claims and disputes which are the subject matter of the Suit upon the terms and conditions set out in this Agreement, and to have the same entered as the consent judgment / terms of settlement of the Honourable Court.
NOW THEREFORE, in consideration of the mutual promises and covenants hereinafter contained, and other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, the Parties HEREBY AGREE as follows:
1. SETTLEMENT AND PAYMENT
1.1. The Defendant shall pay to the Claimant the sum of \u20a6________ (________) (the "Settlement Sum") in full and final settlement of all the Claims and disputes arising from or connected with the Suit.
1.2. The Settlement Sum shall be paid on or before ________, by way of ________ into the following account of the Claimant:
Account Name: ________
Account Number: ________
Bank: ________
1.3. The Defendant undertakes not to accelerate, defer, reduce or otherwise vary any payment due under this Agreement, nor assign its obligation to make payment to any third party, save with the prior written consent of the Claimant.
1.4. Time shall be of the essence in respect of all payment obligations under this Agreement.
1.5. Where the Defendant defaults in the payment of the Settlement Sum or any instalment thereof on the due date, the Claimant shall be entitled, without further notice, to enter judgment and/or levy execution against the Defendant for the entire outstanding sum, together with interest at the rate of ________% per annum from the date of default until full and final payment.
2. CLAIMANT'S BENEFICIARY
2.1. In the event that any payment falls due after the death of the Claimant, such payment shall be made to the following named beneficiary/beneficiaries:
________
2.2. Where the person(s) or entity designated to receive payment is deceased or non-existent at the time of the Claimant's death, payment shall be made to the duly administered estate of the Claimant in accordance with the applicable laws of succession and administration of estates.
3. RELEASE AND DISCHARGE
3.1. In consideration of, and upon the full and final receipt of the Settlement Sum set out in Clause 1 of this Agreement, the Claimant hereby irrevocably and unconditionally waives, releases, acquits and forever discharges the Defendant, together with its heirs, successors, agents, servants, privies, legal and personal representatives, administrators and executors, from all and any liability, claims, demands, actions, suits, debts and causes of action whatsoever, whether known or unknown, arising out of or in connection with the subject matter of the Suit.
3.2. The Claimant acknowledges and agrees that this Agreement operates as a perpetual bar and estoppel against the Claimant from instituting, maintaining or prosecuting any action, suit or proceeding, whether presently or at any time in the future, in respect of the Claims, matters or liability described herein.
3.3. This Agreement may be pleaded by either Party as a complete defence and as an absolute bar to any action, suit or proceeding which may hereafter be brought in respect of the matters released herein.
4. SOLICITOR'S FEES AND COSTS
4.1. The costs of and incidental to the Suit and this Agreement (including each Party's solicitor's fees) shall be borne as follows: ________.
5. WARRANTIES AND REPRESENTATIONS OF THE CLAIMANT
5.1. The Claimant warrants and represents that no other person or party has any interest in the Claims and demands the subject of this Agreement, that the Claimant retains the exclusive right to receive the sums payable under this Agreement, and that the Claimant has not assigned, charged or otherwise dealt with the right to collect the Settlement Sum, save as expressly provided in Clause 2 upon the death of the Claimant.
5.2. Each Party warrants that it has the full capacity, power and authority to enter into and perform its obligations under this Agreement, and that this Agreement has been duly executed and constitutes a legal, valid and binding obligation enforceable against it in accordance with its terms.
6. ADDITIONAL TERMS
6.1. The Parties agree to the following additional terms:
________
7. NO ADMISSION OF LIABILITY
7.1. The Parties agree and acknowledge that this Agreement is entered into purely by way of compromise to avoid the costs and uncertainty of further litigation, and that nothing herein shall be construed as, or constitute, an admission of liability or wrongdoing by the Defendant in respect of the Claims.
8. CONFIDENTIALITY
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8.2. Each Party shall ensure that any party to whom disclosure is permitted under this Clause is bound by an equivalent obligation of confidentiality.
9. DATA PROTECTION
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10. ENTRY OF TERMS AS CONSENT JUDGMENT
10.1. The Parties agree that this Agreement may be filed before and adopted by the Honourable Court as the Terms of Settlement / Consent Judgment in the Suit, and that the Suit shall thereupon be marked as settled or withdrawn accordingly.
11. DISPUTE RESOLUTION
11.1. In the event of any dispute, controversy or claim arising out of or in connection with this Agreement, or the breach, termination, interpretation or validity thereof, the Parties shall first endeavour to resolve the same amicably through mutual negotiation.
11.2. Where the dispute is not resolved within thirty (30) days of written notice of the dispute by one Party to the other, the Parties shall refer the dispute to mediation in accordance with the Arbitration and Mediation Act 2023, at ________.
11.3. Failing resolution by mediation, either Party may pursue its remedies before a court of competent jurisdiction in the Federal Republic of Nigeria.
12. NOTICES
12.1. All notices under this Agreement shall be in writing and shall be delivered personally, by courier or by registered/certified post (and may additionally be transmitted by electronic mail) to the Parties at their respective addresses set out in this Agreement or at the address of their respective solicitors.
12.2. The Claimant's solicitor may be contacted as follows:
________
12.3. The Defendant's solicitor may be contacted as follows:
________
12.4. A notice shall be deemed to have been duly given: if delivered personally or by courier, at the time of delivery; if sent by registered/certified post, on the fifth (5th) business day after posting; and if sent by electronic mail, upon confirmation of successful transmission during business hours.
13. GENERAL PROVISIONS
(I) Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the Federal Republic of Nigeria.
(II) Entire Agreement: This Agreement, together with any document expressed to be an addendum hereto, constitutes the entire agreement between the Parties and supersedes any prior written or oral agreement, representation or understanding between them on the subject matter.
(III) Cumulative Rights: The rights of the Parties under this Agreement are cumulative and shall not be construed as exclusive of any other right, save as otherwise provided by law.
(IV) Headings: The headings in this Agreement are for convenience only and shall not affect the construction or interpretation of its terms.
(V) Waiver: Any term or provision of this Agreement may be waived only in writing by the Party entitled to the benefit thereof. No delay or omission in exercising any right shall be construed as a waiver of such right.
(VI) Severability: If any provision of this Agreement is held to be invalid, illegal or unenforceable, the remaining provisions shall continue in full force and effect.
(VII) Variation: No variation or amendment of this Agreement shall be valid or binding unless made in writing and duly executed by both Parties.
(VIII) Further Assurance: The Parties shall execute and deliver all such documents and do all such acts and things as may be necessary or incidental to give full effect to the provisions of this Agreement.
(IX) Counterparts: This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same Agreement.
(X) Binding Effect: This Agreement shall be binding upon and enure to the benefit of the Parties and their respective successors-in-title, personal representatives and permitted assigns.
IN WITNESS WHEREOF the Parties hereto have executed this Agreement the day and year first above written.
SIGNED by the within-named Claimant:
_______________________
________
in the presence of:
Name: ________
Address: ________
Occupation: ________
Signature: ________
SIGNED by the within-named Defendant:
_______________________
________
in the presence of:
Name: ________
Address: ________
Occupation: ________
Signature: ________
SETTLED AND PREPARED BY:
________
________