Mutual Release Agreement Template
A mutual release agreement closes out a dispute by having each party release the other from claims connected to it — used for business disputes, contract disagreements, or any other disagreement two parties want to put behind them, not only employment exits. Download the ready-to-fill template below, or read the full clause checklist first — it covers what a solid mutual release needs and the mistakes that most often weaken one.
Download the Mutual Release Agreement
A complete, ready-to-fill PDF — 8 clauses, blanks for every detail, and a signature block for both parties. Free, no email, no account. Read it and adapt it before you use it; the cover page explains what it can and cannot do for you.
Need the other party to sign it too? Send it for signature with a full audit trail and a tamper-evident seal on the finished file — they never need an account. See pricing.
This is a template, not legal advice
This document is a general-purpose template provided for information only. It is not legal advice, it does not create a lawyer–client relationship, and nobody has reviewed it against your situation.
Laws differ by country, state and province, and they change. A clause that is standard in one place can be unenforceable — or illegal — in another. Terms that are ordinary between two businesses can be void in a consumer or employment context.
Read every clause before you use it, fill in every blank, and delete anything that does not apply. For anything high-value, unusual, or that you could not afford to lose a dispute over, have a qualified lawyer in your jurisdiction review it before it is signed.
What a mutual release needs
Both parties’ names
Full legal names (individuals) or company names of everyone involved. A mutual release only works if both sides are named as both releasing and released parties.
Recital of the dispute
A short description of what the disagreement was actually about — a contract dispute, an unpaid invoice, a falling-out between business partners, or something else. This anchors what the release covers.
Mutual release language
The operative clause: each party releases the other, not just one side releasing the other. A one-way release only protects one party — that’s a different document.
Scope of released claims
A release should cover claims that are known AND unknown as of the signing date — otherwise a claim nobody thought of at the time can resurface later.
Settlement terms, if any
State plainly whether any payment or other consideration changes hands to resolve the dispute, or that none does. Many mutual releases close out a dispute with no money involved.
No admission of liability
Settling a dispute isn’t the same as admitting fault. This clause makes clear neither side is conceding wrongdoing, and that the agreement can’t be used as evidence of it.
Confidentiality, if relevant
Many settlements are conditioned on keeping the terms — or the existence of the dispute — private. Include this if either side cares about that.
Governing law
Which jurisdiction’s law applies if the release itself is ever disputed.
Signatures & date
Both parties sign and date the agreement. Until this happens, neither side has actually released anything.
Common mistakes to avoid
- Using a one-way release when both sides gave something up in the dispute — that needs a mutual release, not a unilateral one.
- Releasing only "known" claims, which leaves the door open for a claim that surfaces later from the same underlying dispute.
- Treating this as an employment severance document — a mutual release is for closing out any dispute (business, contract, personal); it has no severance-pay structure and isn’t built around an employer paying an exiting employee.
- Leaving the description of the dispute too vague to identify what’s actually being released, which can make the release harder to enforce if it’s ever challenged.
- Skipping a proper signature step — an emailed "we’re good now" is weak evidence that either side actually agreed to give up their claims.
Turn this into a signed document
Fill in the template above, then send it to the other party for signature. They sign online and never need an account, and the finished file comes back sealed with an audit certificate showing who signed, when, and from where.
Only you need to sign your own copy? Use the free self-sign tool instead — no account needed.
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