When a claimant or plaintiff executes a release of liability as a condition of settlement in a claim or action for personal injury within thirty days of the incident giving rise to such claim, such claimant or plaintiff shall have a right of rescission until midnight of the third business day after the day on which the release was executed, provided that he was not represented by counsel when the release was executed, the rescission was made in writing to the person or persons being released, their representative or insurance carrier, and the claimant returns to the person or persons being released any check or settlement proceeds received by the claimant prior to the rescission. A release of liability executed within thirty days of the incident giving rise to the claim for personal injury by a person who is not represented by counsel shall contain a notice of the claimant's or the plaintiff's right to rescind conspicuously and separately stated on the release.
§ 8.01-425.1.Release of liability; right of rescission.
Chapter 16. Compromises · Last amended 2000 · Last verified July 16, 2026
In one sentenceSection 8.01-425.1 gives an unrepresented personal-injury claimant who signs a release within thirty days of the incident a right to rescind it in writing until midnight of the third business day after signing, provided the claimant returns any payment received, and requires the release to state that right conspicuously.
Full Text of § 8.01-425.1
Plain-English Summary
Insurance adjusters sometimes move fast after an accident, presenting a release before an unrepresented claimant has had time to gauge the real extent of an injury. This section gives that claimant a cooling-off period. If someone signs a release of liability as part of a personal-injury settlement within thirty days of the incident, and was not represented by counsel when they signed it, they can rescind — cancel — the release until midnight of the third business day after signing.
Rescission has conditions attached: the claimant has to put it in writing to the person or persons being released, their representative, or their insurance carrier, and has to return any check or settlement proceeds already received. And the protection has teeth on the front end, too — a release signed within that thirty-day window by an unrepresented claimant has to state the right to rescind clearly and separately on the release itself, not buried in fine print.
Frequently Asked Questions
Can someone who signs a personal injury release change their mind afterward?
Yes, if the release was signed within thirty days of the incident by a claimant who was not represented by counsel — that claimant has a right of rescission until midnight of the third business day after signing.
How does a claimant exercise the right to rescind a release?
By making the rescission in writing to the person or persons being released, their representative, or their insurance carrier, and by returning any check or settlement proceeds already received.
Does this rescission right apply if the claimant had a lawyer when signing?
No. The right applies only when the claimant was not represented by counsel at the time the release was executed.
Must the release document mention the right to rescind?
Yes. A release executed within thirty days of the incident by an unrepresented claimant must contain notice of the rescission right, stated conspicuously and separately on the release.
What happens to settlement money already paid if the claimant rescinds?
The claimant must return any check or settlement proceeds received before the rescission takes effect.
Amendment History
1999, c. 326; 2000, c. 839.
Source & verification. Section text and amendment history are
reproduced verbatim from the Code of Virginia, published by the
Code of Virginia, Virginia Division of Legislative Automated Systems. Last verified July 16, 2026.
· Official source
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