Instructions for writing terms of settlement
These are instructions to help prepare terms of settlement. It is important to complete your terms of settlement using your own details and based on your own circumstances. If you need more help, get legal advice.
There is no set form for terms of settlement. They can be handwritten or typed on a blank sheet of paper.
Layout and headings
- Use white A4 paper.
- Type if possible, or use neat, clear handwriting in black or blue pen.
- Use only one side of the paper.
Content
- The document should start with the title – 'Terms of Settlement'.
- Underneath write the names of the plaintiff and defendant and then the file or case number, as written on the statement of claim. For example:
TERMS OF SETTLEMENT BETWEEN MEENA VISHWANA (Plaintiff) AND FIONA FRAME trading as Fantastic Florists (Defendant) LOCAL COURT FILE NUMBER: SC20xx/766
|
1. Judgment to be entered for the plaintiff for $3,500. |
- Then state clearly each of the agreed actions between the plaintiff and the defendant in numbered paragraphs, including:
- when the defendant will pay the plaintiff
- how the defendant will pay the plaintiff
- what will happen if the defendant doesn't pay the plaintiff
- whether the defendant will pay any interest
For example:
2. The defendant will pay the plaintiff the amount of $3,500 on or before 31 December 20xx.
3. The defendant will not be liable to pay any additional interest if she pays $3,500 by 31 December 20xx
4. The terms of this agreement are confidential
5. Each party will pay their own legal costs.
OR
5. The defendant is to pay the plaintiff the costs of filing the claim.
M.Vishwana Meena Vishwana Date: 24 November 20xx | Fiona Frame Fiona Frame Date: 24 November 20xx |
Witness: Ella Mavis
E. Mavis | Witness: Bob Atkins
B.A |