At the end of a dispute, or if a resolution can otherwise be reached, it is usual for the parties to record the terms of settlement in a legal document called a deed of settlement. A deed of settlement intends to provide certainty and clarity to the terms of the settlement, and to provide a mechanism to enforce the term of the settlement agreement.
A deed of settlement is typically easier and cheaper to enforce than a verbal agreement or informal written agreement.
Most litigation law firms have templates for deeds of settlement for most types of disputes and can assist individuals and businesses formalise a settlement without significant cost.