Deeds of Release and Settlement Agreements

Key clauses to review

  • Scope of release: Does it settle all matters (wide release) or only the specific claim? Consider unknown/future claims and the defined “Disputes”.
  • Mutuality: Is the release mutual? Are there mutual bars to proceedings, mutual confidentiality and mutual non‑disparagement?
  • Employment status: Will a dismissal be recorded as a resignation (other than redundancy)? Is a statement of service included?
  • Carve‑outs: Check explicit carve‑outs (e.g., superannuation, workers’ compensation, latent injury, reporting to regulators, protected disclosures, enforcing the deed).
  • Restraints & waivers: Does the deed waive or preserve any restraints of trade in your contract? Are confidentiality/IP obligations clarified?
  • Payments & tax: What is paid, when, and how characterised (e.g., ETP, unused leave)? Are withholdings addressed? Any set‑off or indemnity clauses?
  • Other terms: Legal costs contribution, references, return of property, non‑admissions, jurisdiction, enforcement, and consequences of breach.

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