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Final Payment Release Letter

Final Payment Release Letter Template for United Arab Emirates

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Key Requirements PROMPT example:

Final Payment Release Letter

"I need a Final Payment Release Letter for a completed construction project in Dubai, UAE, confirming receipt of AED 5.2 million as final payment from Al Madina Developments LLC, and releasing them from all claims relating to the Marina Heights Tower project completed in March 2025."

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Document background
The Final Payment Release Letter is a essential document in UAE business practices, commonly used upon the successful completion of projects or contracts when final payments are being processed. This document is particularly crucial in the UAE's business environment, where clear documentation of payment completion and release of claims is vital for legal certainty. The letter serves multiple purposes: it confirms receipt of final payment, releases the paying party from further financial obligations, and protects against future claims. Used across various sectors but particularly common in construction and development projects, this document must comply with UAE Federal Laws, including the Civil Code (Federal Law No. 5 of 1985) and Commercial Code (Federal Law No. 18 of 1993). The Final Payment Release Letter typically includes project details, payment confirmation, and comprehensive release language, making it a crucial tool for closing out contracts and projects in the UAE.
Suggested Sections

1. Letter Header & Date: Formal business letter header including sender's details, recipient's details, and date of the letter

2. Project/Contract Reference: Clear identification of the specific project, contract, or work that the final payment relates to

3. Payment Confirmation: Statement confirming the amount of final payment received and the date of receipt

4. Release Statement: Clear declaration releasing the paying party from all claims, demands, and obligations related to the contract/project

5. Acknowledgment of Completion: Confirmation that all works/services have been completed satisfactorily

6. Waiver of Rights: Express waiver of any further rights or claims related to the contract/project

7. Signature Block: Space for authorized signature, name, title, and company stamp

Optional Sections

1. Retention Release: Section addressing the release of any retention amounts, used when retention money was held

2. Conditional Release Clause: Used when the release is conditional upon certain events or actions being completed

3. Outstanding Warranties: Section specifying any warranties that survive the final payment, used in construction or equipment supply contexts

4. Third Party Claims: Section addressing potential third-party claims, used in complex projects with multiple stakeholders

5. Dispute Resolution Reference: Reference to dispute resolution mechanisms, used in high-value or complex projects

6. Governing Law Statement: Explicit statement of UAE law application, used in international business contexts

Suggested Schedules

1. Payment Details Schedule: Detailed breakdown of the final payment amount, including any deductions or additions

2. Project Completion Certificate: Copy of the completion certificate or final acceptance document

3. Outstanding Items List: List of any minor items or documentation still to be completed (if applicable)

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓƵ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
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Relevant Industries

Construction

Real Estate Development

Infrastructure

Oil & Gas

Manufacturing

Professional Services

Information Technology

Engineering

Facilities Management

Government Services

Healthcare

Education

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Relevant Teams

Legal

Finance

Commercial

Operations

Procurement

Project Management

Contract Administration

Accounts Payable

Risk Management

Corporate Affairs

Relevant Roles

Project Manager

Contract Manager

Finance Director

Chief Financial Officer

Legal Counsel

Commercial Director

Operations Manager

Procurement Manager

Account Manager

Construction Manager

Development Manager

Financial Controller

Managing Director

Chief Executive Officer

Claims Manager

Quantity Surveyor

Industries





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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,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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