What Is a Resolution Agreement?
A resolution agreement is a legal document that lays out the methods and timetable on settling agreements between the two parties. This may be used to settle conflicts and complaints or approve a decision between members in the group. This commonly concerns employers and employees, partners, stockholders, and shareholders who either have a conflict of interest or a common interest.
How to Write a Resolution Agreement?
There are many ways to use a settlement agreement: to provide a resolution, approving a board resolution, or a dispute resolution on conflicting parties. Statistics show that new cases on disputes are filed by 68% of the customer’s population and 32% of the population on intra-industry in the year 2019. To solve this dilemma, creating a resolution agreement is a good method to provide corrective actions in such situations.
1. Identify the Parties Involved
Complaints may occur wherever you are: inside a big corporate, a small business you are handling, or even within your community. In a dispute, there may be a lot of parties involved. It can be your colleagues, your business partners, or even your employees. The first thing you do is to identify the parties involved and write their names in the resolution agreement. Provide the details of their affiliations, such as the name of their company and their address.
2. Insert Cause of Conflict
The next thing to do is to define the cause of their conflict. This may cover poor management in the workplace, unfair treatment, poor working environment, unequal opportunities, breach of contract, and most of all, bullying and harassment at the workplace. These unresolved issues may lead to bigger problems if not attended to. Writing down the conflicts involved will help in creating a solution on how to solve the existing conflict.
3. Specify Your Terms and Agreements
Now that you already know the issue between the two parties, specify your terms and agreements in your legal agreement to resolve the existing arguments. Evaluate the situation, identify who is mostly at fault, and prepare a fair judgment for the scenario. Write this down on paper and create a procedure for a compromise between the two parties to resolve the conflict. Create a liability statement on the party who is accountable for the situation and provide compensation on the victim.
4. Organize Everything
Draft your basic agreement and organize everything in the document. Use proper headings and spacing to separate your areas properly. Create a course of action to be done, review your existing policies, and discuss it with the board. Once a proper settlement is done, add your decisions on the items for settlement.
5. Review the Agreement
Review your resolution agreement for any errors and adjustments to satisfy all parties in regard to their argument. Make sure that the entire agreement undergoes a proper process, and proper separation and compensation are given to all members.
6. Sign Your Agreements
Lastly, let both parties sign a simple agreement. This indicates that once they sign, they fully understand the agreement, and agree willingly to follow the given settlement upon the satisfaction of both parties. At the same time, both acknowledge the administrative enforcement or judicial proceedings on the specific terms and obligations on the agreement.