Common use of Dismissal of Action Clause in Contracts

Dismissal of Action. On the same day as the Effective Date (as defined below), subsequent to SOS’s receipt of the Settlement Payment, SOS shall dismiss the Action with prejudice against all Defendants who signed the Settlement Agreement as of the Effective Date only. Thirty (30) days after the Effective Date, SOS will dismiss with prejudice any additional Defendants who have signed the Settlement Agreement within that period. All other Defendants shall be dismissed without prejudice at that time. The Parties shall cooperate at their own cost and expense as needed to finalize and file the documents necessary to effectuate the dismissal with prejudice. For avoidance of doubt, SOS may initiate legal proceedings against any Corporate Defendant for any breach of this Settlement Agreement only but, pursuant to Paragraph 5, shall not initiate any Claims or claim against the Defendants dismissed with prejudice where such Claims or claims were or could have been brought in the Action or arise from any business or commercial dealings before the Effective Date among or between SOS and the Defendants dismissed with prejudice.