A Settlement Agreement between Two Parties is a legally binding document that lays out the terms and conditions of an agreement between two parties, usually to resolve a dispute or disagreement between them. It outlines the responsibilities of each party and any compensation that may be due as part of the agreement. The agreement must be signed by both parties in order for it to be valid. It also states the date on which the agreement comes into effect and details the applicable laws that govern the agreement. By signing a settlement agreement, both parties agree to abide by its terms, conditions, and provisions.