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Third Party Settlement Agreement for Singapore

Third Party Settlement Agreement Template for Singapore

A Third Party Settlement Agreement under Singapore law is a legally binding document that facilitates the resolution of disputes involving tHRee or more parties. It is governed by Singapore's Contract Law Act 1961 and related legislation, incorporating specific provisions for third-party rights and obligations. The agreement details settlement terms, releases, payment arrangements, and mutual obligations while ensuring compliance with Singapore's robust legal framework for alternative dispute resolution.

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Third Party Settlement Agreement

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What is a Third Party Settlement Agreement?

The Third Party Settlement Agreement is utilized when resolving complex disputes involving multiple parties under Singapore jurisdiction. It becomes particularly relevant when a third party, such as an insurer or guarantor, plays a crucial role in settling the dispute. The document incorporates essential elements required by Singapore law, including clear identification of parties, detailed settlement terms, mutual releases, and specific provisions addressing third-party rights and obligations. This agreement type is commonly used in insurance claims, construction disputes, or complex commercial matters where third-party involvement is necessary for effective resolution.

What sections should be included in a Third Party Settlement Agreement?

1. Parties: Identifies all parties to the settlement agreement, including the third party

2. Background: Outlines the dispute context and reasons for settlement

3. Definitions: Defines key terms used tHRoughout the agreement

4. Settlement Terms: Details the agreed settlement amount and payment terms

5. Release Provisions: Specifies mutual releases and discharge of claims

6. Confidentiality: Obligations regarding confidentiality of settlement terms

7. Governing Law: Specifies Singapore law as governing law

What sections are optional to include in a Third Party Settlement Agreement?

1. Non-admission of Liability: Used when parties want to explicitly state that the settlement does not constitute admission of liability

2. Tax Implications: Addresses tax treatment of settlement payment and related obligations

3. Non-disparagement: Prevents parties from making negative statements about each other after settlement

What schedules should be included in a Third Party Settlement Agreement?

1. Payment Schedule: Details of installment payments if applicable

2. Release Documentation: Forms for formal release of claims

3. Original Dispute Documents: Reference documents relating to the original dispute

4. Party Authorization Documents: Corporate resolutions or powers of attorney if required

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

Contract Law Act 1961: Primary legislation governing formation and enforcement of contracts in Singapore

Misrepresentation Act: Governs false statements made during contract formation and remedies available

Third Parties (Rights against Insurers) Act: Regulates rights of third parties in contractual relationships, particularly in insurance contexts

Civil Law Act: Contains general provisions about civil law including contract principles in Singapore

Mediation Act 2017: Framework for mediation proceedings and enforcement of mediated settlement agreements

Legal Profession Act: Regulates legal practitioners and their role in settlement agreements

Evidence Act: Governs admissibility of settlement terms and evidence in legal proceedings

Limitation Act: Sets time limits for bringing legal actions and enforcing settlement agreements

Companies Act: Relevant when contracting parties are corporations, governing corporate capacity and authority

Electronic Transactions Act: Governs electronic execution and validity of electronic agreements

Stamp Duties Act: Regulates stamp duty requirements for certain types of agreements

Privity of Contract: Legal doctrine that only parties to a contract can enforce its terms

Consideration Principle: Requirement that all parties must provide some value or consideration for the agreement to be binding

Contractual Capacity: Legal principle requiring all parties to have legal capacity to enter into contracts

Express and Implied Terms: Principles governing both explicitly stated and implied contractual terms

Discharge of Obligations: Rules governing how contractual obligations are fulfilled or terminated

Enforceability Provisions: Legal principles determining when and how settlement agreements can be enforced

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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