The notice of terminating the labor contract has legal effect and is legally mandatory. As long as both parties sign on the notice of termination of the labor contract, it is considered that both parties agree to terminate the labor contract by agreement, that is, the use of words is not standardized, but in the process of labor arbitration, it will not be deemed that the labor contract is not terminated by agreement because of the non-standard use of words. Although the notice of termination of the labor contract states that "there is no economic dispute between the two parties", it does not mean that the employee has waived the right to sue. If the fact is that, for example, the company has underpaid the social security, this clause is invalid. That is, employees can still claim their rights within the scope of the law, and the legal responsibility of the enterprise will not be exempted because of such an article in the agreement between the two parties. The legal corporate responsibility will not be changed due to the difference in description or the agreement between the two parties, because the legal responsibility cannot be exempted by the agreement between the two parties.
 Legal basis:
 Article 39 of the Labor Contract Law The Employer may terminate the labor contract if a worker has any of the following circumstances:
 （1） It is proved that the employee does not meet the employment conditions during the probation period;
 （2） Seriously violating the rules and regulations of the employing unit;
 （3） Serious dereliction of duty or engaging in malpractice for selfish ends, causing major damage to the employing unit;
 （4） The laborer establishes labor relations with other employers at the same time, which has a serious impact on the completion of the work tasks of his own unit, or refuses to correct after being proposed by the employer;
 （5） The labor contract is invalid due to the circumstances specified in Item 1 of Paragraph 1 of Article 26 of this Law;
 （6） Being investigated for criminal responsibility according to law.
 Article 40 Under any of the following circumstances, the employing unit may terminate the labor contract after notifying the laborer himself in writing 30 days in advance or after paying the laborer an additional month's wages:
 （1） The laborer is unable to engage in his original work or other work arranged by the employer after the prescribed medical treatment period expires due to illness or non work related injury;
 （2） The laborer is incompetent for his work and still is incompetent after training or job adjustment;
 （3） The objective conditions on which the labor contract is based at the time of conclusion have changed significantly, which makes the labor contract unable to be performed, and the employer and the worker fail to reach an agreement on changing the content of the labor contract after consultation.