Common use of Binding Effect of Settlement Clause in Contracts

Binding Effect of Settlement. The Supporting Parties recognize that a full, final and binding resolution of the Released Claims will be of immediate and continuing benefit to all Settlement Parties, and to The Peninsula as a whole, by removing the burden of costly, uncertain and potentially repetitive litigation, and by providing all Settlement Parties with greater certainty as to their future rights and obligations insofar as the Telecommunications Contracts and the Telecommunications System is concerned. The Supporting Parties further recognize that the settlement contemplated by this Agreement will not be fully effective in achieving the goals described above unless binding upon not just the Supporting Parties, but upon all Settlement Parties. The Supporting Parties would not be willing to enter into this Agreement or to effectuate the settlement contemplated hereby unless they were reasonably assured that the terms of this Agreement were made universally binding on all Settlement Parties. Accordingly, the Supporting Parties have agreed to undertake the Court approval process described in Section 8 of this Agreement and to obtain the Final Order therein described in order to consummate and confirm the terms of settlement set forth in this Agreement.

Binding Effect of Settlement. The Supporting Parties recognize that a full, final and binding resolution of the Released Claims will be of immediate and continuing benefit to all Settlement Parties, and to The Peninsula Villages of Five Points as a whole, by removing the burden of costly, uncertain and potentially repetitive litigation, and by providing all Settlement Parties with greater certainty as to their future rights and obligations insofar as the Telecommunications Contracts and assessments on the Telecommunications System Class A Members of the Association is concerned. The Supporting Parties further recognize that the settlement contemplated by this Agreement will not be fully effective in achieving the goals described above unless binding upon not just the Supporting Parties, but upon all Settlement Partiespersons who are bound by the Declaration of Covenants, Conditions and Restrictions for The Villages of Five Points (the “Declaration”), including all Class A, C and D Members of the Association (collectively, the “Members”). The Supporting Parties would not be willing to enter into this Agreement or to effectuate the settlement contemplated hereby unless they were reasonably assured that the terms of this Agreement were made universally binding on all Settlement PartiesMembers. Accordingly, the Supporting Parties have agreed to undertake the Court approval process described in Section 8 7 of this Agreement and to obtain the Final Order therein described in order to consummate and confirm the terms of settlement set forth in this Agreement.