contracts

Japan does not have a separate code of law for contracts to determine what laws govern contracts in Japan. Instead, contract law is governed by various laws contained in the Civil Code, the law of torts, the law of property, the law of succession and family law. While these codes contain the basic rules governing contract formation and execution in Japan, special rules relating to contracts between merchants are contained in the Commercial Code. Furthermore there are many other laws relating to protection of consumers and regulation of business operators.

A settlement agreement usually has two main parts.  First, it should include a waiver of legal liability for disputes arising out of the same issue.  This provides protection for the parties from a lawsuit over the same issue in the future.  Second, it should contain some transfer of assets or rights in exchange for waiving the right to sue.  This transfer will often be based upon what the wronged party might expect to win if the issue were litigated in court, but will usually be reduced by a fair amount to reflect the time and expense saved by not litigating […]