For this assignment, please review the following video, which will assist you in completing both this assignment as well as the discussion.
After reviewing the video, download the Assignment. In this assignment, you are asked to draft a settlement agreement. It gives you clauses to choose. Follow the directions in the document to choose the clauses and then assemble your agreement.
The scenario for the settlement agreement is explained in both the performance, discharge and remedies lecture notes and in the discussion forum this week.
Module 7 Assignment
The parties in the discussion scenario have settled their case. The draft of the settlement needs selection of clauses. Select clauses and explain your selection. The first one is done for you.
Margaret, hereby seller, and Bob, hereby buyer, agree as follows.
Select A or Alt A and specify you reason. (Is your choice legally better? Why? Is it more grammatical or clearer? Why?)
Sample: A. This contract is a full and final accord and satisfaction of the option agreement of the parties.
Sample AltA. This contract is toward a final settlement, but is not really final until the money is paid.
As in the sample A and AltA examples above, select 1 or 1A, 2 or 2A, 3 or 3A, 4 or 4A and 5 or 5A. Explain why your selections show better contract drafting, even if you think both choices have defects. Better legal clarity, lack of legalese, better grammar, and correct spelling are all valid reasons to choose which clause to use.
When you are done selecting clauses, assemble the document, by copying and pasting Sample A and your choices for the other five clauses at the bottom of this document.
1. Margaret deed Parcel A to Bob, $50,000 in hand paid whereof, ten days from this agreement.
Alt.1. Margaret shall deed Parcel A to Bob, in exchange for $50,000, ten days from this agreement.
2. Refusal damages go to Bob, for Margaret’s brief of the option contract, in the amount heretofore of $800.
Alt. 2. Margaret agrees to pay $800 compensation to Bob, for her breach of the option contract.
3. Profit sharing. In the event that Bob agrees to any transfer or sale of parcel A within two years of the transfer referred to in #2 above, Bob shall pay Margaret 25% of any and all amounts he receives from said sale over and above $50,000.
Alt 3. Profit sharing. If Bob agrees to any transfer or sale of parcel A within two years of the transfer referred to in #1 above, Bob shall pay Margaret 25% of any and all amounts he receives from said sale over and above $50,000.
4. Costs. Neither Margaret, nor Bob, is responsible for the legal costs incurred by the other regarding the option agreement.
Alt 4. Costs. Margaret and/or Bob are not responsible for costs, proceedings, or legal, for the option agreement incurred by, or expended on behalf of, either/both or otherwise.
5. Waiver. Both parties waive any and all defenses they may have to performance of this settlement contract.
Alt 5. Waver. Both parties wave any and all defenses they may have to performance of this settlement contract.
Assemble your document here, with Sample A, and then your choices for clauses 1 – 5.