Agreement Form to Compromise debt
AGREEMENT TO COMPROMISE DEBT

THIS AGREEMENT is made the [Enter Day] day of [Enter Month] year [Enter Year]

BETWEEN:

(1) [Enter Customer\'s Name] of [Enter Customer\'s Address] (the “Customer”); and

(2) [Enter Creditor\'s Name] of [Enter Creditor\'s Address] (the “Creditor”).

WHEREAS:

(A) The Customer and the Creditor acknowledge that the Customer is indebted to the Creditor in the sum of £[Enter Amount of Debt] (the “Debt”), which sum is now due and payable.

(B) The Creditor agrees to forgo payment of part of the Debt.

NOW IT IS HEREBY AGREED as follows:

1. The parties agree that the Creditor shall accept £[Enter Amount of Debt] (the “Sum”) in full and final settlement of the Debt and in complete discharge and satisfaction of all monies due, provided the Sum is punctually paid as follows: [Enter Payment Details]

2. Should the Customer fail to pay the Sum on the terms set out in paragraph 1, the Creditor shall have full rights to prosecute its claim for the full total of the Debt, less any payments made.

3. Upon default, the Customer agrees to pay all reasonable solicitors’ fees and costs of collection.

4. This agreement shall be binding upon and inure to the benefit of the parties, their successors and assigns.

IN WITNESS OF WHICH the parties have signed this agreement the day and year first above written

(Individual)

(Company)

 

 

__________________________
Signed by the Customer

__________________________
in the presence of (witness)

Signed for and on behalf of
__________________________ Ltd

__________________________
Director

__________________________
Director/Secretary

Name

________________

 

Address

________________
________________
________________

 

Occupation

________________

 

 

 

__________________________
Signed by or on behalf of the Creditor

__________________________
in the presence of (witness)

Signed for and on behalf of
__________________________Ltd

__________________________
Director

__________________________
Director/Secretary

Name

________________

 

Address

________________
________________
________________

 

Occupation

________________