The General Release Of All Claims is a critical legal instrument used in Hong Kong to formally settle and discharge all claims between parties. It is commonly employed in various contexts, including employment separations, commercial dispute resolutions, personal injury settlements, and business transaction closures. This document serves as a comprehensive waiver of rights to pursue any existing or future claims, whether known or unknown at the time of execution. The agreement must comply with Hong Kong's common law system and relevant ordinances, particularly regarding contract formation, limitation periods, and enforceability. It typically includes specific consideration, detailed release provisions, and appropriate safeguards to ensure its effectiveness under Hong Kong law. The document is particularly valuable in achieving final closure in dispute situations and providing certainty and finality to all parties involved.
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Key Requirements PROMPT example:
General Release Of All Claims
"I need a General Release of All Claims agreement under Hong Kong law for a settlement between my technology company and a former senior executive, including confidentiality and non-disparagement provisions, with the settlement payment of HKD 1,500,000 to be paid by March 15, 2025."
1. Parties: Identifies and defines all parties involved in the release, including the releasing party and the released party
2. Background: Provides context for the release, including any relevant history of the relationship between the parties and existence of disputes or claims
3. Definitions: Defines key terms used throughout the agreement, including 'Claims', 'Released Parties', and other relevant terms
4. Consideration: States the consideration being provided in exchange for the release, making the agreement legally binding
5. Release Provisions: Details the specific claims being released, including present and future claims, known and unknown claims
6. Scope of Release: Defines the temporal and substantive scope of the release, specifying what claims are included and excluded
7. Representations and Warranties: Contains statements by the releasing party about their authority to release claims and understanding of the agreement
8. Non-Admission of Liability: States that the release does not constitute an admission of liability by any party
9. Governing Law and Jurisdiction: Specifies Hong Kong law as governing law and Hong Kong courts' jurisdiction
10. Entire Agreement: Confirms that the document represents the entire agreement between parties regarding the released claims
11. Execution: Signature blocks and execution formalities
1. Confidentiality: Required when parties wish to keep the existence, terms, or amount of the settlement confidential
2. Non-Disparagement: Include when parties agree not to make negative statements about each other
3. Return of Property: Necessary when there is company property or confidential information to be returned
4. Ongoing Obligations: Include when certain obligations continue post-release, such as cooperation in legal proceedings
5. Tax Implications: Include when the settlement payment has tax consequences that need to be addressed
6. Severability: Optional clause to ensure remainder of agreement survives if any provision is found invalid
7. Future Cooperation: Include when parties need to cooperate on transitional matters or future proceedings
8. Revocation Period: Include when required by law or agreed to give time for legal review and consideration
1. Schedule of Released Claims: Detailed list of specific claims being released, including dates and reference numbers if applicable
2. Schedule of Released Parties: Comprehensive list of all parties being released, including related entities and individuals
3. Schedule of Consideration: Details of any monetary or non-monetary consideration, including payment terms and conditions
4. Schedule of Excluded Claims: List of any specific claims that are not included in the release
5. Schedule of Outstanding Obligations: List of any continuing obligations that survive the release
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Relevant Teams
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Compliance
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General Counsel
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Chief Legal Officer
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Business Unit Director
Department Head
Project Manager
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