Jane Doe (the "First Party") hereby invites John Smith ("you" or the "Second Party") to use the
process described below to arrive at a settlement agreement with respect to the above-referenced
matter. The First Party specifically agrees and represents as follows:
1. The First Party will accept a specific amount of money (referred to in this Term Sheet as
"X") to settle the above-referenced matter if, prior to a fixed deadline and in the manner
described below, you agree to settle for that amount. The fixed deadline is as follows:
Thursday, November 16, 2017 at 12:00 Hours (i.e., 12:00 Noon) U.S. E.S.T. (the "Deadline").
2. The First Party has used a commitment device administered by Fair Outcomes, Inc. of
Boston, Massachusetts, U.S.A. (the "Fair Proposals System" or "the System") to specify the
value of X and has caused that company to send you an e-mail today via the Second Party's
e-mail address as set forth above. That e-mail contains the text of this Term Sheet and a
password that will allow you to confidentially use the System free of charge. You can use
that System to confidentially specify an amount of money ("Y") and signify your willingness
to settle for X (and to accept certain "Settlement Terms," as that phrase is defined at
paragraph 6 of this Term Sheet) if - and only if - X is less than or equal to the amount of
money that you specify (Y). The System will not disclose to the First Party or to anyone else (including
the administrators of the System) any data that you enter or any use or non-use that you may make of the
System or of that website, and will erase and delete any data that you enter, unless X is
less than or equal to the amount of money that you specify (in which event the claim will settle for X).
3. If you enter data as described at paragraph 2 above, then the System will at that time
determine whether X is greater than, equal to, or less than the numerical value that you
4. If the System determines that X is less than or equal to Y, then the System will at that time
automatically issue a certificate to both you and the First Party (the "Parties"] setting forth
the value of X and attesting to the terms set forth in this Term Sheet and to the fact both
Parties had agreed to settle for X in the manner described in this Term Sheet.
5. If, alternatively, the System determines that X is greater than Y, then the System will
automatically notify you of that fact and give you an opportunity to confidentially specify a
different value for Y. This opportunity will be given to you on each such occasion up until the
Deadline . In addition, on each such occasion the System will give you an opportunity to print
out a certificate confirming the value that you specified for Y at that time and attesting to the
fact that the matter did not settle at that time because X was greater than Y. (The System
will not maintain or provide the First Party or anyone else with a copy of any such certificate
or the information set forth therein.)
6. If the System determines that both Parties have agreed to settle for X in the manner described above, then both Parties shall also be deemed to have agreed to a set of settlement terms (the "Settlement Terms"). The Settlement Terms shall (unless the Parties have otherwise mutually agreed in writing) be as follows:(i) Each Party shall be deemed to have fully settled, resolved, and released the other from any and all claims that existed between them with respect to the above-referenced matter; (ii) The Second Party shall cause the settlement amount to be paid to the First Party within thirty (30) days of the date upon which you entered data into the System resulting in a determination that the Second Party had agreed to settle for X; and (iii) if said payment has not been made within that period, then (a) the Second Party shall be obliged to pay all reasonable costs incurred by the First Party in collecting said amount from the Second Party, including reasonable attorneys fees; and (b) the First Party may, in the First Party's sole discretion and as an alternative to pursuing collection proceedings, rescind the First Party's agreement to settle for X by sending written notice to that effect to the Second Party.
7. Additional information about the above-described process and about Fair Outcomes, Inc.
is available on the System's website, which can be accessed by clicking here.