Settlement Agreement Solicitors for Employers (formally known as ‘Compromise Agreements’ )
A Settlement Agreement is a written agreement, regulated by statute, whereby an employee or worker agrees to waive their right to bring or pursue certain employment tribunal claims against a respondent or potential respondent, usually their current or former employer.
Are you considering a Settlement Agreement for an employee or multiple compromise agreements? If yes, It is essential you seek legal advice at the earliest opportunity, Rothera Sharp Solicitors Nottingham can help!
Settlement Agreements can be an effective way of resolving a variety of employment-related disputes and can provide an effective way of avoiding legal proceedings.
Employers usually offer employees Settlement Agreements where they need to be sure that there is no likelihood of employment claims as a result of the ending of the employment relationship. It can be a case of the employer wanting certainty or the employer and employee both know that there have been irregularities in the ending of the relationship which could give rise to a claim and they want to settle it before proceedings are even started.
Settlement Agreements can be an effective way of resolving a variety of employment-related disputes and can provide an effective way of avoiding legal proceedings and the consequential time and costs of doing so whilst providing the employee with a severance package.
A Settlement Agreement is the only way of the employer settling a potential employment dispute where no proceedings have been started. They usually involve the payment by the employer to the employee of an agreed amount of money in return for the employee agreeing not to take court or tribunal proceedings.
The package can also include the provision of an agreed reference and a warranty from the employer to confirm that they will not deviate from the essence of that reference when approached for references in the future and terms requiring the employee and employer to keep the terms of the agreement confidential.
For the agreement to be legally binding the law requires that employee takes legal advice and the lawyer giving that advice certifies that such advice has been given. It is usual for the employer to pay a specified contribution towards such advice.
Careful drafting of the agreement is important to ensure that there is no risk of court or tribunal proceedings but also to protect the business from, for example, future competition from or poaching of staff by the employee. Why not download our Free Settlement Agreement Guide.
Are you an employer wanting to find out more about Settlement Agreements? If so, call us on 0800 088 6280
For further information on how Settlement Agreements Solicitors can be of benefit to you, call Rothera Sharp today on Nottingham 0800 088 6280 or send us an email to email@example.com