DISPUTES & REPLIES

Settlement Agreement (Full and Final)

Use once both sides have agreed commercial terms to end a dispute, whether or not a notice, mediation, arbitration or case is pending. Make sure every pending proceeding is listed so it is withdrawn, and keep the release effective only once payment is complete.

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First party (your business) *

First party entity type

First party registered address *

First party signatory & designation *

Second party *

Second party entity type

Second party address *

Second party signatory & designation *

The dispute being settled *

Pending proceedings to be withdrawn (one per line)

Who pays

Settlement amount (₹) *

Payment schedule (one instalment per line) *

Payment mode / account

Grace period for a late instalment (days)

Interest on default (% p.a.)

Days to withdraw proceedings after full payment

Courts / seat of arbitration (city) *

Place *

Date *

Laws this relies on

Indian Contract Act, 1872A compromise of disputed claims, freely agreed for consideration, is a binding contract.
Indian Contract Act, 1872 · Section 73Breach of the settlement terms entitles the other party to compensation for resulting loss.
Arbitration and Conciliation Act, 1996 · Section 30If an arbitration is pending, the tribunal can record the settlement as an arbitral award on agreed terms.
State Stamp ActStamp duty on the agreement varies by state.

How to execute

Print on non-judicial stamp paper of the value your state requires (or e-stamp), then sign with witnesses.

Execute on non-judicial stamp paper (or e-stamp) of the value your state prescribes, signed by both parties with two witnesses. If a court case, MSEFC reference or arbitration is pending, file the settlement there so it is recorded (and, in arbitration, ask for a consent award).

Click anywhere in the letter to edit it. Changes to the form keep flowing in.

This is a general template, not legal advice. Laws, stamp duty and procedures vary by state and change over time — have a qualified advocate review it for your facts before signing or sending.