Agreement To Compromise Debt Legal Draft Template

AGREEMENT TO COMPROMISE DEBT THIS DEED is made the 18th

day of November 2010 BETWEEN:

of (the Customer); and

of (the Creditor) .

WHEREAS:

(A) The Customer and the Creditor acknowledge that the Customer

is indebted to the Creditor in the sum of £ (the

Debt), which sum is now due and payable.

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

NOW THIS DEED WITNESSES as follows:

1. The parties agree that the Creditor shall accept

£ (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:

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.

Upon default, the Customer agrees to pay all reasonable solicitors' fees

and costs of collection.

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 executed this deed the day and year

first above written

(Individual) (Company)

Signed by the Customer

in the presence of (witness)

Name

Address

Occupation

Signed by the Creditor

in the presence of (witness)

Name

Address

Occupation

Signed on behalf of:

Ltd

Director

Director/Secretary

Signed on behalf of:

Ltd

Director

Director/Secretary