Settlement language matters in Texas

A deal is a deal—that’s a Texas value. This principle was reaffirmed in a recent case out of Austin that went to the U.S. 5th Circuit Court of Appeals, the federal court of appeals covering Texas.

Go broad or go home!

Before we get to the facts, let’s look at the language used to settle this employment case that was filed against the University of Texas (UT) at Austin:

The Parties mutually release each other from all Claims and Damages arising from [the employee’s] employment with UT Austin or any actions or inactions by UT existing at the time of the Effective Date [of this release]. This includes but is not limited to [the employee] releasing UT and its employees from all Claims and Damages that have been, may be, or could be alleged or asserted now by [the employee] against UT. . . . The Parties intend this release to be full and final mutual releases of Claims and Damages for matters accrued through the Effective Date.

Wait, there’s more with “claims” defined as follows: