Put it in writing

It is a good idea to try to settle your dispute with the other party without having to go to court. By coming to an agreement about the goods, you will save time and money. Starting a case takes up time and energy, and can be stressful. 

If you reach an agreement with the other party, it is a good idea to put the agreement in writing. A written agreement is often called 'terms of settlement' or a 'settlement agreement'. 

There is no set form – your agreement can be handwritten or typed. The agreement should set out clearly what you have agreed with the other party. The agreement can include:

• ​​a description of the goods to be returned, or the amount of money to be paid instead
  
• when the goods will be returned or the money paid
  
• how the money will be paid, for example by cheque, cash or electronic funds transfer
  
• the payment of interest on the amount agreed to be paid
  
• ​payment by instalments and the dates the instalments are due
  

• ​​what will happen if the good are not returned, or the amount or the instalments are not paid by the agreed date.

Sample: Terms of settlement

If you are not sure how to settle your dispute, you should get legal advice​.