Skip to content

Settlement and Judgment Processing Guidelines

FPP E.041

Sample Settlement Letter

Below is a sample settlement letter from the paying agency to the OAG authorizing the settlement or judgment and amount of the claim.

Note: The bolded paragraph in the sample letter below must be included in the settlement letter paying agencies submit to the attorney general’s office.

Note: The paying agency’s name/address/phone/website (if applicable) appears on the letterhead.

DATE: 	Month xx, xxxx (Ex: March 22, 2012)

TO:      <Name of Assistant Attorney General assigned to case>
         Assistant Attorney General
         <Name of Assistant Attorney General Division assigned to case>
         Office of the Attorney General
         300 West 15th Street, 6th Floor
         Austin, Texas  78701

RE:      Payment of Settlement in Case No. ________; John Doe Industries 
         v.<Paying Agency>; Defendants, in the State of Texas; in the <###> 
         Judicial District of _____ County, Texas AG No. 99999999.


       Dear <Name of Assistant Attorney General assigned to case>,
       The <Paying Agency Name> authorizes settlement of the above-referenced
       claim in the amount of <$xx,xxx> payable to <Payee Name> in exchange
       for the claimants’ full release of all claims arising out of this lawsuit.
       This shall also serve to inform you that the <Paying Agency Name> <does>
       OR <does not> consider this information to be confidential.

       Payment of this claim does not exceed 1 percent of the total amount of 
       funds appropriated by the General Appropriations Act (GAA) for this agency 
       (not including federal funds) and would not cause the total amount of 
       settlement and judgment payments during the Fiscal Year(FY) to exceed 
       10 percent of the total amount of funds available for expenditure by 
       this agency.

       Thank you for your prompt handling of this matter.
       <Name>, <Title of Authorized Agency Representative>
       <Authorized Representative Division>
       <Paying Agency>