How To Prove A Texas Release Defense
In Texas, a defense of Release is defined as:
A Release is an agreement where one party voluntarily gives up certain claims or rights against another party, often in exchange for some form of consideration, such as a settlement payment or benefit.
It simply means:
When a party waives rights to claims via a previous agreement.
There are 7 elements of the defense:
- Element 1. One party made an offer to another party. In a Release Defense, one party proposes a deal or agreement to another party, which can limit or eliminate legal claims, showing that both sides have acknowledged and accepted the terms of the arrangement.
Facts that might support this element look like:
* Party A communicated a clear proposal to Party B, outlining specific terms and conditions for a potential agreement.
* Party A provided Party B with a written document detailing the offer, which included a deadline for acceptance.
* Party A expressed willingness to negotiate the terms of the offer during a meeting with Party B.
* Party B acknowledged receipt of the offer and indicated interest in discussing it further.
* Party A’s offer was made in good faith, with the intention of reaching a mutually beneficial agreement. - Element 2. The second party agreed to the terms of the offer, an acceptance. In simple terms, when the second party agrees to the offer’s terms, it means they accept the deal, which is an important part of a legal defense called a Release Defense, showing that both sides are on the same page about the agreement.
Facts that might support this element look like:
* The second party signed the release document, indicating their agreement to the terms outlined.
* The second party acknowledged receipt of the offer and confirmed their acceptance via email.
* The second party participated in a meeting where the terms of the release were discussed and agreed upon.
* The second party made a payment as stipulated in the release, demonstrating their acceptance of the terms.
* The second party did not raise any objections to the terms of the release within the specified timeframe. - Element 3. There was consideration, meaning something of value (e.g., money, goods, services) was exchanged between the parties. Consideration means that both parties involved in an agreement exchanged something valuable, like money, goods, or services, which is essential for the agreement to be legally binding and to support a defense in a release from liability.
Facts that might support this element look like:
* The plaintiff received a payment of $5,000 from the defendant in exchange for signing the release.
* The defendant provided the plaintiff with a service valued at $2,000, which was part of the consideration for the release.
* Both parties agreed that the transfer of goods worth $3,000 constituted valid consideration for the release.
* The plaintiff acknowledged receiving a benefit in the form of a debt forgiveness of $10,000 as part of the release agreement.
* The parties executed a mutual release, where each side agreed to forgo potential claims in exchange for specific monetary compensation. - Element 4. Both parties were legally capable of entering into a contract. Both parties involved in the contract must have the legal ability to agree, meaning they are of sound mind, of legal age, and not under any undue pressure or influence, ensuring that the agreement is valid and enforceable.
Facts that might support this element look like:
* Both parties were of legal age, having reached the age of majority as defined by state law.
* Both parties possessed the mental capacity to understand the terms and implications of the contract at the time of signing.
* There were no indications of coercion or undue influence affecting either party’s ability to consent to the contract.
* Both parties had the legal authority to enter into contracts, as neither was under guardianship or declared incompetent.
* Each party had prior experience with similar contracts, demonstrating their understanding of the contractual obligations involved. - Element 5. The contract’s purpose and terms were lawful. The contract was valid because its purpose and conditions followed the law, meaning it was created for a legal reason and did not involve anything illegal or against public policy.
Facts that might support this element look like:
* The contract was entered into by two parties who had the legal capacity to contract.
* The terms of the contract were clearly defined and agreed upon by both parties without any ambiguity.
* The subject matter of the contract involved a lawful business transaction that complied with all applicable laws.
* Both parties received adequate consideration, ensuring that the contract was not unconscionable or unfair.
* The contract did not involve any illegal activities or violate public policy in any way. - Element 6. Both parties understood and agreed to the contract’s terms. Both parties clearly understood and accepted the terms of the contract, meaning they both agreed to what was written and accepted their responsibilities, which is an important part of defending against any claims related to the agreement.
Facts that might support this element look like:
* Both parties engaged in multiple discussions regarding the contract’s terms before signing, demonstrating mutual understanding.
* Each party had the opportunity to review the contract thoroughly and ask questions prior to execution.
* Both parties signed the contract in the presence of witnesses, indicating their acknowledgment of the terms.
* The contract included a clause stating that both parties had read and understood the terms before signing.
* Prior to signing, both parties exchanged emails confirming their agreement to the contract’s specific provisions. - Element 7. The plaintiff and defendant entered into an agreement to release the claims at issue. The plaintiff and defendant agreed to settle their dispute by officially dropping any claims against each other, meaning they won’t pursue legal action related to the issue anymore.
Facts that might support this element look like:
* The plaintiff and defendant signed a written agreement on January 15, 2023, explicitly stating that all claims related to the dispute were released.
* Both parties acknowledged the terms of the release agreement during a meeting held on January 20, 2023.
* The plaintiff received a monetary payment as part of the agreement to release any and all claims against the defendant.
* The release agreement included a clause stating that it was binding and enforceable upon both parties.
* The plaintiff did not raise any objections to the release agreement at the time of signing.
(See Vera v. N. Star Dodge Sales, Inc., 989 S.W.2d 13, 17 (Tex. App.-San Antonio 1998). Campbell v. Abrazo Adoption Associates, Tex: Court of Appeals, 4th Dist. 2007.)
If you’re in court without a lawyer and plan to assert a Defense of Release, it’s essential to have a Personal Practice of Law at Courtroom5. You’ll need to make critical decisions about what to file at each phase of your case and prepare legal documents that are supported by thorough legal research and a strong analysis of the facts. Equip yourself with the tools and knowledge necessary to effectively navigate the legal process.
U.S. Civil Cases Only