Document background
An Agreement Not to Sue serves as a critical risk management tool in the Danish legal landscape, typically employed when parties wish to resolve potential disputes without formal litigation. This document is particularly valuable in scenarios where there's a desire to prevent future litigation while maintaining business relationships or achieving immediate dispute resolution. Under Danish law, this agreement must carefully balance the rights of both parties while ensuring compliance with contract formation requirements and public policy considerations. The document includes detailed specifications of the claims being waived, any consideration being provided, and necessary representations and warranties. It's commonly used in commercial disputes, employment matters, or following preliminary negotiations where parties want to formalize their commitment to avoid litigation.
