When the relationship between employer and employee irretrievably breaks down, one solution is for both sides to enter into a 'Settlement Agreement' (which used to be known as 'Compromise Agreements'). A Settlement Agreement is a legally binding agreement which allows the employee to receive an agreed tax free lump sum (plus an agreed reference in certain cases) in return for agreeing not to pursue their case to an Employment Tribunal or the civil courts.
The employer’s solicitor usually draws up the Settlement Agreement. To be valid, the Settlement Agreement must be in writing, specify the dispute being settled, and state that the conditions governing Settlement Agreements have been complied with. The employee must also have received independent legal advice on the Settlement Agreement from a qualified person insured to provide it, such as their solicitor, and the Settlement Agreement must identify who that person was. Usually, the employer pays the costs involved in the employee taking this advice. As settlement agreement solicitors, we can provide the required independent legal advice on the settlement agreement.
What To Do If You Require Settlement Agreement Solicitors Advice
Should you have been offered a Settlement Agreement which you require independent advice on, then please call one of our solicitors immediately on 07919 561266 or complete the questionnaire on the right hand side of this page. A solicitor will then arrange an appointment with you to go through the Settlement Agreement and advise accordingly.
We can normally provide settlement agreement solicitors advice at very short notice, usually on the same day.