Release And Discharge Agreement for United Arab Emirates

Release And Discharge Agreement Template for United Arab Emirates

A Release and Discharge Agreement under UAE law is a formal legal document that effectively terminates specified obligations, liabilities, or claims between parties. Governed by UAE Civil Code (Federal Law No. 5 of 1985) and incorporating principles of Sharia law, this agreement provides a comprehensive framework for parties to settle disputes, release claims, or discharge obligations. The document must comply with UAE legal requirements, including proper execution procedures and potentially bilingual provisions in both English and Arabic. It typically includes specific details about the claims being released, consideration provided, and any continuing obligations between the parties.

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What is a Release And Discharge Agreement?

The Release and Discharge Agreement is a crucial legal instrument in the United Arab Emirates used to formalize the settlement of disputes, claims, or obligations between parties. This document is particularly relevant in situations involving commercial disputes, employment terminations, project completions, or settlement of legal claims. The agreement must comply with UAE Civil Code requirements and Sharia principles, often requiring careful consideration of both English and Arabic versions. It serves to provide legal certainty and finality by clearly defining the scope of release, any consideration provided, and any surviving obligations. The document is commonly used across various sectors and can be adapted to different contexts, from simple bilateral releases to complex multi-party settlements. Key considerations include ensuring proper authority for execution, clear definition of released claims, and compliance with UAE legal formalities.

What sections should be included in a Release And Discharge Agreement?

1. Parties: Identification and details of all parties to the agreement, including full legal names, addresses, and registration details for companies

2. Background: Context of the relationship between the parties, description of the original obligations or disputes being released, and the intention to provide a release and discharge

3. Definitions: Definitions of key terms used throughout the agreement, including 'Released Claims', 'Effective Date', and any other specific terms

4. Release and Discharge: Core provisions detailing the specific claims, rights, obligations being released and discharged

5. Consideration: Details of any payment or other consideration being provided in exchange for the release

6. Representations and Warranties: Statements by each party about their authority to enter into the agreement and other relevant facts

7. Confidentiality: Obligations regarding confidentiality of the agreement and its terms

8. Governing Law and Jurisdiction: Specification of UAE law as governing law and designation of relevant UAE courts for dispute resolution

9. Execution: Signature blocks and execution requirements complying with UAE law

What sections are optional to include in a Release And Discharge Agreement?

1. Non-Admission of Liability: Optional clause stating that the agreement does not constitute an admission of liability by any party - useful in dispute settlement contexts

2. Future Cooperation: Provisions regarding ongoing obligations or cooperation between parties - relevant when parties will maintain some form of relationship

3. Tax Implications: Clauses addressing tax consequences of any payments - necessary when significant sums are involved

4. Return of Property: Provisions regarding return of any physical or intellectual property - relevant when parties have exchanged assets or materials

5. Non-Disparagement: Mutual obligations not to make negative statements about other parties - useful in employment or commercial dispute contexts

6. Survival: Specification of which provisions survive the release - important when certain obligations should continue

What schedules should be included in a Release And Discharge Agreement?

1. Schedule 1 - Released Claims: Detailed list of specific claims, obligations, or rights being released

2. Schedule 2 - Payment Terms: Details of any payment arrangements, including amounts, timing, and method of payment

3. Schedule 3 - Related Agreements: List of any related agreements affected by or referenced in the release

4. Appendix A - Arabic Translation: Arabic translation of key terms and provisions as required under UAE law

5. Appendix B - Supporting Documents: Copies of relevant supporting documents referenced in the agreement

Authors

Alex Denne

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

Publisher

Genie AI

Document Type

Release Agreement

Cost

Free to use
Relevant Industries

Banking and Financial Services

Construction and Real Estate

Oil and Gas

Manufacturing

Technology and Communications

Healthcare

Retail and Consumer Goods

Professional Services

Education

Transportation and Logistics

Insurance

Hospitality and Tourism

Relevant Teams

Legal

Human Resources

Finance

Compliance

Risk Management

Operations

Corporate Affairs

Business Development

Project Management

Executive Leadership

Relevant Roles

Legal Counsel

Chief Legal Officer

Contract Manager

Human Resources Director

Chief Financial Officer

Risk Manager

Compliance Officer

Project Manager

Business Development Manager

Chief Executive Officer

Operations Director

Company Secretary

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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