A mutual release agreement is a contract that states each Party agrees to waive any claims or potential legal action against the other. Use this mutual release agreement template to ensure a transparent parting when terminating any contracts, or relationships.
The Parties section introduces all individuals involved in the agreement and briefly describes each Party’s role. It should include the names of all parties, mailing addresses, and contact numbers.
This Agreement is executed by and between the following.
[Party1.Company]
[Party1.City] , [Party1.State] [Party1.PostalCode]
[Party1.Email] (Company1.Website)
[Party2.Company]
[Party2.City] , [Party2.State] [Party2.PostalCode]
[Party2.Email] (Company2.Website)
This agreement is now entered into by and between [Party1.Company] and [Party2.Company] , collectively referred to as the "Parties" on [Document.CreatedDate] .
Include the date from which the agreement will be effective and other relevant details as to how or when the agreement will cease to be effective.
The Parties agree that the (state the name of previous agreement) between them dated (date) shall be terminated effective (date).
The Parties agree that they have benefited immensely from this relationship and will always remember the good times shared.
The Parties wish each other all the best in the future and agree that this release is amicable and free from ill will.
The parties hereby agree not to sue each other for any matter related to any matter that arose prior to the date this agreement is signed and agree not to seek damages from each other.
It’s vital for the mutual release agreement to include a No Admission clause because it protects both parties from potential litigation.
The Parties acknowledge that this Agreement does not constitute an admission of wrongdoing or finding of liability against either Party by any court or other body having jurisdiction.
This Agreement is entered into solely to avoid potential future litigation, and it shall not be considered evidence of actual or constructive knowledge on the part of either Party in any forum.
Each Party expressly denies any liability or wrongdoing in connection with the subject matter of this Agreement.
The Parties agree to take all steps necessary to ensure that any third party, court, or other tribunal having jurisdiction over the matter shall not consider this Agreement as evidence of actual or constructive knowledge on the part of either Party.
Include other essential details for both parties, including arbitration clauses, confidentiality agreements, or other necessary provisions.
This Agreement supersedes any prior written or verbal agreements between the Parties and constitutes a binding legal document.
This Agreement is intended to be legally binding and enforceable by law.This Agreement represents the complete understanding between the Parties concerning the termination of the prior agreement.
This Agreement wholly and accurately states the Parties' intent concerning the release from liability provided herein.
This Agreement is binding upon and shall inure to the benefit of each Party's heirs, executors, administrators, successors, and assigns.
The Parties warrant that it has the authority or capacity to enter into this Agreement without any consent from any third party.
The Parties warrant that they have not been induced by any representation, promise, or inducement not explicitly set forth herein.
The Parties warrant that they have had an opportunity to obtain competent legal advice before entering into this Agreement and that they have read it in its entirety before executing.
The Parties warrant that their signatures bind them to the terms of this Agreement on behalf of each Party.
The Parties warrant that they are unaware of any fact or matter that would invalidate or void this Agreement.
The Parties agree that under no circumstances shall any Party be liable to the other for indirect, consequential, or punitive damages.
Each Party agrees that it is responsible and accountable for mitigating its losses and paying all costs, expenses, and damages incurred by it or for its account.
If any part of this Agreement is held by a court to be void or unenforceable, then that part shall be ineffective solely, without affecting the remainder remaining parts.
The Parties further agree that if any part of this Agreement is ever found invalid, unlawful, or unenforceable by a court of competent jurisdiction, the Parties shall negotiate an amendment in good faith to make it valid and enforceable while preserving its original intent.