# Diminution in Value Agreement
**Diminution in Value Agreement**
This Diminution in Value Agreement ("Agreement") is made and entered into as of the ___ day of __________, 20__, by and between:
**Party A:**
Name: ______________________________
Address: ____________________________
City, State, Zip Code: _______________
Email: ______________________________
Phone: ______________________________
**Party B:**
Name: ______________________________
Address: ____________________________
City, State, Zip Code: _______________
Email: ______________________________
Phone: ______________________________
**Recitals:**
WHEREAS, Party A is the owner of certain property described as follows:
___________________________________________________________
("Property"), and
WHEREAS, Party B has made claims regarding the diminution in value of the Property due to certain events or circumstances ("Claim"), and
WHEREAS, the Parties seek to define their agreement regarding the Claims and any compensation related to the diminution in value of the Property.
NOW, THEREFORE, in consideration of the mutual covenants and agreements herein contained, the Parties agree as follows:
### 1. Acknowledgment of Diminution in Value
The Parties acknowledge that the Property has experienced a diminution in value due to the events described in the Claim.
### 2. Determination of Value
The Parties agree to establish the diminished value of the Property through an independent appraisal, which shall be conducted by a mutually agreed-upon appraiser. The cost of the appraisal shall be shared equally between the Parties.
### 3. Compensation
Upon mutual agreement on the diminished value as determined by the appraisal, Party A agrees to compensate Party B the amount of the verified diminution in value. Payment shall be made within ___ days of receipt of the appraiser's report.
### 4. Release of Claims
Upon receipt of the compensation, Party B agrees to release and discharge Party A from any further claims, demands, or actions related to the diminished value of the Property.
### 5. Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the State of __________.
### 6. Entire Agreement
This Agreement constitutes the entire agreement between the Parties regarding the subject matter hereof and supersedes all prior agreements, understandings, and negotiations, whether written or oral.
### 7. Amendments
This Agreement may not be amended or modified except in writing signed by both Parties.
### 8. Severability
If any provision of this Agreement is found to be unenforceable or invalid, the remaining provisions shall remain in full force and effect.
### 9. Signatures
IN WITNESS WHEREOF, the Parties hereto have executed this Diminution in Value Agreement as of the day and year first above written.
**Party A:**
Signature: ___________________________
Name: ______________________________
Date: ________________________________
**Party B:**
Signature: ___________________________
Name: ______________________________
Date: ________________________________
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*Note: This template is for informational purposes only and should not be construed as legal advice. It is recommended to consult with a qualified attorney before entering into any legal agreement.*