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Release Of Claims Agreement for Philippines

Release Of Claims Agreement Template for Philippines

A Release of Claims Agreement under Philippine law is a legally binding document where one party (the releasor) agrees to relinquish their right to pursue legal claims against another party (the releasee) in exchange for consideration, typically monetary compensation. This agreement must comply with the Civil Code of the Philippines and relevant jurisprudence, particularly regarding the validity of waivers and releases. The document includes specific provisions about the scope of claims being released, consideration details, and representations about the parties' understanding of their rights, while ensuring compliance with Philippine public policy and mandatory legal requirements.

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What is a Release Of Claims Agreement?

A Release of Claims Agreement is a crucial legal document used in the Philippines when parties wish to formally settle disputes and prevent future litigation. This document is commonly employed in various contexts, including employment separations, personal injury settlements, business disputes, and contract terminations. The agreement must be carefully drafted to comply with Philippine civil law requirements, particularly the Civil Code provisions on obligations and contracts. It typically includes detailed descriptions of the claims being released, consideration provided, and necessary warranties and representations. Special attention must be paid to ensure the release is voluntary and informed, especially in employment contexts where Philippine courts scrutinize releases (quitclaims) carefully. The document serves as a final resolution of disputes, providing legal certainty to all parties involved while protecting their respective interests under Philippine law.

What sections should be included in a Release Of Claims Agreement?

1. Parties: Identification of the parties to the agreement, including their complete legal names, addresses, and any relevant corporate details

2. Background: Recitals explaining the context of the dispute or claims, relevant history, and the parties' desire to settle

3. Definitions: Key terms used in the agreement, including 'Claims', 'Released Parties', and any other specific terms requiring clear definition

4. Consideration: Details of the settlement amount or other consideration being provided in exchange for the release

5. Release Provisions: The core release language specifying what claims are being released, including present and future claims

6. Scope of Release: Detailed description of the types of claims covered and the extent of the release

7. Representations and Warranties: Statements by both parties regarding their authority to enter into the agreement and understanding of its terms

8. No Admission of Liability: Statement that the agreement and settlement payment do not constitute an admission of liability

9. Governing Law: Specification that Philippine law governs the agreement

10. Execution: Signature blocks and execution requirements

What sections are optional to include in a Release Of Claims Agreement?

1. Confidentiality: Terms requiring parties to keep the agreement and its terms confidential - used when privacy is important to either party

2. Non-Disparagement: Provisions preventing parties from making negative statements about each other - typically used in employment or business relationship settlements

3. Return of Property: Requirements for returning any property or documents - relevant when physical or intellectual property is involved

4. Tax Implications: Clarification of tax responsibilities - important for significant monetary settlements

5. Survival: Specification of which provisions survive the execution of the release - used for complex agreements with ongoing obligations

6. Future Cooperation: Terms requiring parties to cooperate in future matters - useful in complex business or employment situations

7. Revocation Period: Period during which the releasing party may revoke the agreement - particularly important in employment-related releases

8. Payment Terms: Detailed payment schedule or conditions - used when payment is not made in a single lump sum

What schedules should be included in a Release Of Claims Agreement?

1. Schedule A - Released Claims: Detailed list of specific claims being released

2. Schedule B - Payment Details: Breakdown of settlement amounts and payment terms if complex

3. Schedule C - Released Parties: Comprehensive list of all parties being released, including affiliated entities

4. Appendix 1 - Supporting Documents: Copies of relevant documents referenced in the release

5. Appendix 2 - Corporate Authorizations: Required corporate resolutions or authorizations if parties are corporations

Authors

Alex Denne

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

Jurisdiction

Philippines

Publisher

Ƶ

Document Type

Release Agreement

Cost

Free to use
Relevant legal definitions






























Clauses






























Relevant Industries

Legal Services

Insurance

Banking and Finance

Manufacturing

Real Estate

Construction

Healthcare

Information Technology

Retail

Professional Services

Education

Transportation

Energy

Telecommunications

Human Resources Services

Relevant Teams

Legal

Human Resources

Risk Management

Compliance

Executive Leadership

Finance

Operations

Corporate Affairs

Employee Relations

Administration

Relevant Roles

Legal Counsel

Human Resources Manager

Risk Management Officer

Compliance Officer

Chief Legal Officer

Settlement Administrator

Claims Manager

Corporate Secretary

Human Resources Director

Employee Relations Manager

Business Development Manager

Contract Administrator

Chief Executive Officer

Chief Financial Officer

Operations Manager

Industries








Teams

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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