Standard Terms Contained In Settlement Agreements

There are certain standard terms within most Settlement Agreements which are as follows:-
  • A lump sum payment to be made to the employee as compensation for loss of office
  • The Employee agrees not to pursue a claim/legal proceedings against the employer in the Employment Tribunal or in the civil courts
  • A statement of the fact that the first £30,000.00 of the lump sum payment by way of compensation for loss of office can be paid tax free, but that the employee provides a tax indemnity to the employer in respect of any tax due
  • That there will be confidentiality in relation to trade secrets, the existence of the Settlement Agreement, and the terms and conditions of the Settlement Agreement
  • No derogatory remarks by either party in relation to the other
  • Return of employers property by employee
  • The position on post termination restrictive covenants is often set out
  • That the employer will provide an agreed reference for the employee to prospective future employers, a copy of the agreed wording of which is annexed to the Settlement Agreement
  • Confirmation that the employee has received independent legal advice

What To Do If You Require Advice On A Settlement Agreement

Should you have been offered a Settlement Agreement (which used to be known as Compromise Agreements) which you require independent advice on, then please call one of our employment law solicitors immediately on 0333 3010 700, or complete the questionnaire on the right hand side of this page. We will then arrange an appointment with you to go through the Settlement Agreement

Settlement Agreements: Overview

What Are Settlement Agreements?

Settlement Agreements: The Costs

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How To Contact Us

To contact The Employment Law Solicitors about an employment law problem, please either telephone us on 0333 3010 700 or complete the short questionnaire above. Simply click the 'Send Now' button to submit the questionnaire once you have completed it. Upon receipt, it will be assessed by a solicitor who will then contact you to discuss the matter. The solicitor appointed to contact you, will be a specialist in your type of employment law issue. The Employment Law Solicitors handle cases on behalf of clients throughout the country. Headquartered in Wilmslow (Cheshire), we also have offices in Manchester, Liverpool, Warrington (Cheshire), Chester (Cheshire), Birmingham, Leeds, Sheffield, Exeter, London, Nottingham, Bristol, Stoke-on-Trent, and Preston.

This initial consultation is completely free of charge.

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