It is basically a signed statement that the party who was wronged in the broken engagement forgives the person who broke it off. So if Sorah breaks off the engagement to Avrumi, Avrumi gives her a signed shtar that says he is mochel her for breaking it off with him. It is apparently crucial in many Yeshivishe circles. I personally never heard of it at all until two years ago when my friend’s son’s engagement was broken by the kallah’s side, and no one would redt her a shidduch without her receiving it from him. Of course he gave it to her ASAP, but I think it is not always shayach. What if BOTH parties agree the engagement should not continue because both want out? What if the engagement is broken i.e.,because the kallah finds something crucial and very negative out about the chosson that was withheld from her (like he was married before and has a child in another country) and she breaks it off. Should she then be expected to receive a shtar from HIM that he is mochel her for the breakup? Makes no sense. But people do it.
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