Settlement Agreement and Release (Includes OWBPA Language)

[Style of Case]

This Settlement Agreement and Release ("Agreement") is entered into by _____ (“Employee”) and _____, on behalf of its affiliates, subsidiaries, current and former officers, directors, shareholders, employees, attorneys, agents, insurers, predecessors, and successors ("Employer"). Employee and Employer are collectively referred to as the "Parties." The Parties agree as follows:

  1. Employee filed the above-entitled and numbered cause of action against Employer in the _____Court, Cause No. _____, styled _____. Employer filed an answer denying any liability to Employee.

  2. This Agreement shall not in any way be construed as an admission of liability by any Party hereto or as an admission against interest by any Party.

  3. This Agreement shall be governed by and construed in accordance with the laws of the State of Texas.

  4. The Parties acknowledge that they are settling Cause No. _____ solely because the Parties want to avoid the expense of further investigation or litigation.

  5. In exchange for execution of this Agreement and the attached Motion to Dismiss With Prejudice by Employee and [his/her] attorney, Employer will pay the sum of _____ ($_____), payable jointly to Employee and [his/her] counsel eight (8) days after Employer’s receipt of an executed original of this Agreement and an executed copy of the dismissal papers identified in paragraph 7(b) below. Upon receipt of the payment described in this paragraph, Employee will file the executed original Motion to Dismiss With Prejudice with the court.

  6. Employee will be responsible for the payment of taxes, if any, owed on the payment described in paragraph 5. Employer will issue Employee a Form 1099 for the full amount of the settlement for the _____ tax year. In the event the IRS assesses taxes on Employee for the payment described in paragraph 5 and Employee fails to pay them, Employee agrees to indemnify Employer from any liability to the IRS for those unpaid taxes and any associated penalties and interest. This indemnification clause shall have the broadest scope and shall include all of Employer’s costs and attorneys' fees. Employee shall immediately provide notice of any claim by any entity for unpaid taxes related to the consideration identified in this Agreement, by faxing and mailing a copy of the claim to Employer. The Parties agree that no portion of the payment described in paragraph 5 is compensation for lost wages or benefits. The Parties agree that the payment described in paragraph 5 is for Employee’s alleged pain and suffering.

  7. In consideration of the money to be paid by Employer pursuant to paragraph 5 above...

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