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Compromise Settlement Agreement for Singapore

Compromise Settlement Agreement Template for Singapore

A Compromise Settlement Agreement under Singapore law is a legally binding document that formalizes the resolution of a dispute between parties. It sets out the terms and conditions of settlement, including any monetary compensation, mutual releases, and obligations of the parties. The agreement is governed by Singapore contract law principles and typically includes provisions for confidentiality, non-admission of liability, and enforcement mechanisms specific to Singapore's legal framework.

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Compromise Settlement Agreement

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What is a Compromise Settlement Agreement?

A Compromise Settlement Agreement is utilized when parties wish to formally resolve their disputes without proceeding to full litigation in Singapore courts. This document type is particularly important in Singapore's business-friendly environment, where alternative dispute resolution is strongly encouraged. The agreement details the settlement terms, including payment obligations, releases, and any ongoing commitments. It provides certainty and finality to disputes while being enforceable under Singapore law. The document must comply with Singapore's Civil Law Act and related legislation, ensuring it meets all requirements for a valid and binding Compromise Settlement Agreement.

What sections should be included in a Compromise Settlement Agreement?

1. Parties: Identification and details of all parties to the settlement

2. Background: Context of the dispute and circumstances leading to settlement

3. Definitions: Key terms used tHRoughout the agreement

4. Settlement Terms: Core settlement provisions including payment terms and obligations

5. Release and Discharge: Mutual release of claims and obligations

6. Governing Law: Specification of Singapore law as governing law

7. Execution: Signature blocks and execution provisions

What sections are optional to include in a Compromise Settlement Agreement?

1. Confidentiality: Terms of confidentiality regarding the settlement details and negotiations

2. Non-admission of Liability: Statement that settlement does not constitute admission of liability by any party

3. Tax Provisions: Treatment of tax implications of settlement payments and obligations

4. Non-disparagement: Mutual agreements not to speak negatively about other parties

5. Further Assurance: Obligation to execute further documents or take additional steps if needed

6. Costs: Allocation of legal costs and settlement expenses

What schedules should be included in a Compromise Settlement Agreement?

1. Payment Schedule: Detailed breakdown of payment amounts, dates, and methods of payment

2. Claims Schedule: Comprehensive list of specific claims being settled and released

3. Documents Schedule: List of relevant documents referenced in or forming part of the settlement

4. Deed of Release: Form of release document to be executed by parties

5. Settlement Calculation Schedule: Detailed calculations of settlement amounts including interest if applicable

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Singapore

Cost

Free to use
Relevant legal definitions






























Clauses






























Industries

Civil Law Act (Cap. 43): Primary legislation governing civil law matters and contracts in Singapore, providing fundamental legal framework for settlement agreements

Contract Law: Common law principles governing formation and enforcement of contracts, including offer, acceptance, consideration, and intention to create legal relations

Law of Property Act: Legislation governing property rights and transfers, relevant if settlement involves property matters

Limitation Act: Statute setting time limits for bringing legal claims, crucial for determining validity of claims being settled

Evidence Act (Cap. 97): Legislation governing admissibility of evidence and documentation requirements for legal agreements

Mediation Act 2017: Framework for mediation proceedings in Singapore, particularly relevant if settlement arose from mediation

Supreme Court of Judicature Act: Legislation governing court proceedings and settlements reached during litigation

Rules of Court 2021: Procedural rules governing court proceedings and settlements, including requirements for court sanctions where necessary

Employment Act: Key legislation for employment-related settlements, covering employment rights and obligations

Work Injury Compensation Act: Legislation governing work-related injury compensation, relevant for workplace injury settlements

Industrial Relations Act: Framework for employer-employee relations and dispute resolution in industrial settings

Income Tax Act: Tax implications and requirements for settlement payments and compensation

Stamp Duties Act: Requirements for stamp duty payments on settlement agreements where applicable

Personal Data Protection Act 2012: Regulations governing the collection, use, and disclosure of personal data in settlement agreements

Companies Act: Corporate law framework relevant when settlement involves corporate entities

Banking Act: Regulations governing financial settlements involving banking institutions

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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