A Draft Settlement Agreement is a document that outlines the basic terms and conditions of an agreement between two or more parties. It serves as a starting point for further negotiation and is not binding on any of the parties involved until it is signed by all parties. The document typically includes details such as the names and addresses of the parties, the length of the agreement, its scope, any fees or stipulations, and methods for resolving disputes. Draft Settlement Agreements enable parties to reach a consensus on the essential elements of their contract, bringing them one step closer to entering into a legally binding agreement.