If you're about to ink a settlement resulting from a mediation, you and your mediator have worked tremendously hard to reach an agreement.
Now you want that agreement to be enforceable. We provide here a sample agreement, relevant California case law, and selected articles about
the enforcement of mediated settlement agreements. We provide this information NOT AS LEGAL ADVICE but as a resource for attorneys in
crafting their own form term sheets and memoranda of understanding.
1. The parties have settled the Action effective with the execution of this agreement.
This document constitutes a global, mutual release among all parties (except for the executory provisions hereof), including a
waiver of the provisions of Civil Code Section 1542, as to all issues between/among them relating to the submit matter.
2. This agreement memorializes a mediated settlement between/among the parties to the Action. Pursuant to the
provisions of Evidence Code Section 1123, the parties understand and agree that this settlement agreement, however
skeletal, is admissible, enforceable and subject to disclosure for the purposes of its enforcement.
3. The parties also agree that they may enforce this agreement pursuant to California Code of Civil Procedure section
CCP 664.6.
4. The terms of this Mediated Settlement Agreement are as follows:
5. The parties may, but need not, prepare a separate settlement agreement with terms consistent with this agreement.
6. Upon satisfaction of the terms and conditions herein, the Plaintiff shall prepare a Request for Dismissal of the Action
and lodge it with the Court. When the Request for Dismissal is entered and returned to the Plaintiff, the Plaintiff shall serve
upon the defendant/s a file-stamped copy of the same.
7. Not as a condition of the settlement, but as an additional obligation of the parties, in the event all parties cannot
agree on the final language of any additional settlement document, release or dismissal, they all hereby agree to submit their
dispute first to mediation before _____________ and then, if necessary to arbitration before _____________. The determination
of the arbitrator shall be
final, without right of appeal.
8. The parties shall keep the terms of this settlement confidential except as necessary to enforce its terms. No party
shall disclose the terms of the settlement or the facts, allegations, or other details of the litigation to any other parties, except
those who have a legitimate need to know and then only to the extent of such need.
9. All parties hereby obligate themselves to cooperate in effectuating the terms of this agreement and to the preparation
of any documents necessary to its enforcement.
10. Each party shall bear their own costs and attorney’s fees.
11. Each of the undersigned represents that he or she has the advice of counsel, has authority to sign on behalf of his or
her principal, and understands that this agreement is final and binding, enforceable under CCP 664.6, and subject only to the
process of payment and dismissal as set forth above.
Term Sheet for Mediated Settlement Agreement Re _________ v. ________, Case No. _____(the “Action")
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