Use this release agreement to ensure the correct finalization of a previous contract and prevent the other party from taking any legal action against you.
This release agreement (the “Agreement”) by and between [PartyA.FirstName] [PartyA.LastName] with address at [PartyA.State] [PartyA.StreetAddress] [PartyA.City] and [PartyB.FirstName] [PartyB.LastName] with address at [PartyB.State] [PartyB.StreetAddress] [PartyB.City] on [Document.CreatedDate] . Both will be referred to individually as “party” and collectively as “parties.”
Through this agreement, both parties terminate the previous contract (Name of the contract) (referred to here as “the contract”) signed on (add date) and respond to (enter a description of the previous contract). According to the terms and conditions established in the previous agreement and releasing each other from any claims they had, have, or might have in connection with the contract. In consideration of the preceding, in this legal agreement, both parties agree as follows:
Both parties agree that the previous contract (enter the name of the contract) shall be finalized on (add date) and shall have no further effect upon the termination date, releasing both parties of all their responsibilities in connection to the contract.
Due to the early termination of the contract, Party A agrees to pay Party B an amount of $(Insert Amount), which shall be paid on or before (add date). Assuming that all previous payments by the contract have been fulfilled. Both parties agree that no additional fees are due from either party concerning the contract and deny any right to request other considerations.
Both parties agree to release each other irrevocably and unconditionally. Forever discharging each other and any of their representatives, employees, affiliates, partners, or team members involved from any past, present, or future obligations, claims, complaints, damages, causes of action, liabilities, losses, penalties, expenses, of any kind, either known or unknown, arising out of relating to the contract. Each party confirms and warrants that they have not initiated any legal action or procedure with any type of government authority or court of law against the other party in this country or another.
Unless specified otherwise in this agreement, both parties agree and acknowledge that all obligations and responsibilities related to the contract under sections (add past contract sections that apply) shall remain active after the termination by the terms and conditions established in the contract. Meaning that any exchanges between both parties in terms of payment, goods, or valuables, according to the specified contract, cannot be revoked or negatively affected by this agreement.
This paragraph describes what will remain the same after the termination of the previous contract. For example, if you worked as an artist and created art pieces, those will still be the buyer’s property or whoever hired you under the terms and conditions you both previously established.
Each party agrees to take care of its fees and expenses concerning this and all previous agreements, any other extras, and the realization of all necessary transactions following the contract.
Hereby, both parties guarantee that they have not assigned or delegated, in any way, any claim, complaint, or right that is or might be related to the contract or any of its derivations to a third party, representative, or person. Each party agrees that this is a legally binding agreement that they have the legal right and authority to sign.
Through the present, both parties expressly deny all liability or wrongdoing regarding the contract.
Both parties agree to maintain all communication during the finalization of the contract and fully cooperate to fulfill this agreement. This includes making available and agreeing to provide any necessary documents and information required to effectively perform this agreement and as evidence of the termination of the contract. Both parties also agree to properly release all involved from any responsibility and obligations related to the contract.