Settlement Offer Letter

A Settlement Offer Letter is a communication between two parties in a dispute. The dispute does not have to be in a court of law, although most of the time, it is. One party sends the other party this Settlement Offer Letter, with the proposed terms for a complete settlement between the parties.

Rather than a formal legal document, this letter can be thought of as an opportunity to begin a dialogue to resolve the dispute. Although the terms listed in this letter will generally become the terms of the Settlement Agreement, this letter does not create a legally binding contract.

How to use this document

This document can be filled out by either party in the dispute. It usually will be most helpful to the party offering to pay the settlement, but the other party can fill it out as well, requesting a settlement.

If the dispute is already being litigated, details of that case will be entered into the document, such as case number and name. If the dispute is not being litigated, details of the incident at the heart of the parties' dispute will be entered.

The parties' identifying details and contact information will be entered, as well as the proposed settlement terms.

The document is quite simple to fill out. When complete, it should be printed and signed by the sender of the letter, then sent to the intended recipient.

Applicable law

Although settlement agreements can be governed by both state and federal law, this Settlement Offer Letter is not a legal document, so it is simply a best practice to give the recipient of the letter as much information as possible about the terms of the proposed settlement.

How to modify the template

You fill out a form. The document is created before your eyes as you respond to the questions.

At the end, you receive it in Word and PDF formats. You can modify it and reuse it.