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The settlement

Do not pay any money to the other driver or their insurance company until that person has signed an agreement in writing. Also get a signed receipt when you pay.

What you need to do

  1. You should write an agreement which documents all the things you have agreed upon.
  2. The agreement should contain a statement saying that the agreement is “a full and final settlement” of both your claims.
  3. The agreement should refer to the date and location of the accident and the vehicle(s) involved in the accident.
  4. The agreement will normally be between the owners of the motor vehicles, who are usually the drivers as well.

SAMPLE AGREEMENT RELATING TO MOTOR VEHICLE ACCIDENT

Date of Accident:

Time of Accident:

Place of Accident:

Vehicles Involved:

In consideration of (Driver/Owner A – insert name) of (insert address) paying the sum of $ (amount) to (Owner B – insert name) of (insert address), (Owner B – insert name) hereby agrees not to bring any legal proceedings whatsoever against (Driver/Owner A – insert name) to recover any sum for the damage to his/her motor vehicle in this accident.

The parties agree that this Agreement is a full and final settlement of any claim they may have for the damage to their respective motor vehicles arising out of this accident.

DATED:

Signed:

DATED:

Signed:

The settlement  :  Last Revised: Fri Dec 30th 2011
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