As of 13 August 2026, AI cannot draft a commercial dispute settlement agreement.

What to actually do

1. Hand it to a person

   The route this page recommends

   Someone with a licence or accountable authority has to sign this before it counts.

2. Use a tool built for this

   Second choice

3. Do it yourself

   The distant third

   A chat interface gets you a draft, but you cannot verify it yourself. That is the catch.

   How to actually do it

   1. Open the dispute file and gather the contracts, correspondence, pleadings, court or tribunal documents, expert material, invoices and any existing confidentiality terms that can be shared with the tool.
   2. Write a factual settlement brief containing the parties' exact legal names, the dispute history, claims and counterclaims, agreed sums, payment timing, release scope, confidentiality requirements, costs position, governing law and signatory authority.
   3. Remove unnecessary personal data and confidential material, then paste the brief and relevant extracts into the prompt, identifying each document by name and telling the model not to fill gaps by guessing.
   4. Ask the model to produce the missing-information list and draft agreement in separate sections, with bracketed questions and solicitor review notes rather than invented provisions.
   5. Compare every defined term, party name, sum, payment date, release, preserved claim, confidentiality exception, default remedy and signature detail against the source documents and the commercial deal you actually agreed.
   6. Send the draft and source documents to a solicitor experienced in commercial disputes, asking them to check enforceability, authority, tax and VAT treatment, settlement scope, procedural consequences and execution formalities.
   7. Make only solicitor-approved changes, obtain approval from the people authorised to settle, and circulate the final agreement for signing through your agreed execution process.

   Prompt

   Act as a drafting assistant for a UK solicitor, not as my solicitor. Prepare a first draft of a commercial dispute settlement agreement for review by a qualified solicitor. Do not invent facts, legal authorities, dates, sums, parties, obligations or procedural history. If information is missing, insert a clearly labelled bracketed question instead of guessing.
   
   Jurisdiction and governing law: [for example, England and Wales]
   Parties and legal names: [insert]
   Dispute summary: [insert]
   Claims, counterclaims and proceedings: [insert, or say none]
   Settlement payment and payment dates: [insert]
   Any instalments, interest, security or conditions: [insert]
   What claims and parties must be released: [insert]
   Any claims or rights that must be preserved: [insert]
   Confidentiality and permitted disclosures: [insert]
   Non-disparagement terms: [insert, or say none]
   Admissions or no-admission position: [insert]
   Costs and legal fees: [insert]
   Tax or VAT treatment: [insert or mark for solicitor advice]
   Default, breach and enforcement provisions: [insert]
   Dispute resolution and jurisdiction clauses: [insert]
   Authority of each signatory: [insert]
   Any settlement deadline or required filing: [insert]
   
   Produce: a short issues-and-missing-information list first, then a clearly labelled draft agreement with numbered clauses, defined terms, schedules where useful, signature blocks and solicitor review notes. Flag provisions that require legal or tax advice. Explain in plain English what each major clause is intended to do. Do not say the agreement is legally sufficient, enforceable or ready to sign.

   Open it prefilled in ChatGPT or Claude, or copy it into Gemini, which takes no prefill link.