forliksavtale

A forliksavtale, or settlement agreement, is a legally binding agreement that resolves a dispute between two or more parties. In Norway it is commonly used in civil and administrative matters and can be concluded either during ongoing court proceedings or in out-of-court negotiations aimed at ending a dispute.

Formation and content

A forliksavtale is usually created in writing after negotiations. It should identify the parties, describe the dispute, and specify the agreed terms. Typical provisions cover performance obligations (such as payment or delivery of goods), a waiver of further claims, and any confidentiality or non-disclosure requirements. The agreement may also include practical arrangements, such as payment schedules or conditions for the transfer of property or rights. If the dispute is before a court, the parties can seek court approval to convert theforliksavtale into a court order, giving it stronger enforceability.

Enforceability and remedies

If approved by a court, the forliksavtale often obtains the status and enforceability of a judgment, allowing standard enforcement measures. Without court involvement, it remains a contract, enforceable through ordinary contract-law remedies in case of breach. Breach of a forliksavtale can lead to enforcement actions or damages, and some agreements include remedies or escalation provisions.

Uses and limitations

Forliksavtaler are used to reduce litigation costs, provide finality, and tailor solutions to the parties’ needs in civil, commercial, consumer, or employment-related disputes. Validity requires voluntary consent and compliance with the law; terms that are illegal or unconscionable can be void.

See also: Tvisteloven, contract, avtale.