Settlement (or Compromise) Agreements
A good settlement agreement is key to leaving your job on fair terms. Richard Nelson LLP’s employment solicitors will help you get the right deal.
Why work with Richard Nelson LLP?
When clients come to us seeking advice on employment law, our priority is to protect your rights, such as the right not to suffer discrimination on protected grounds (such as sex, race, disability, religion or age) and the right not to be unfairly dismissed. We also want to ensure, above all else, your interests are being looked after. This is important in Settlement Agreements, as signing this legally binding document prevents you from bringing claims and claiming compensation.
We will explain the terms of the Settlement Agreement in plain English, allowing you to decide whether the financial incentives on offer are reasonable. If we identify any potential claims, we understand how Employment Tribunals calculate compensation so we can help you to reach an informed decision about the Settlement Agreement and whether this is right for you.
What is a Settlement Agreement?
Settlement Agreements are legally binding agreements to bring your employment to an end, usually with your employer paying you a sum of money in return for you promising not to bring any claims. Previously these agreements used to be called Compromise Agreements.
Typically Settlement Agreements are used in redundancies or business reorganisation but can also be used when an employee is off sick or where there is a workplace dispute.
Should I sign a Settlement Agreement?
As you will be signing away your rights to make claims the most important aspect of the Settlement Agreement is the amount of compensation your employer is prepared to pay you.
You cannot sign a Settlement Agreement without receiving independent legal advice about the terms and effects of the Settlement Agreement.
Many employees are unsure about signing away their rights. We can assist you with assessing the offer and negotiating more favourable terms if you want to accept a Settlement Agreement or advice about potential claims and compensation should you want to pursue the legal route and bring a claim against your employer.
How much should I get from a Settlement Agreement?
We can advise you about this and work out any financial/non-financial loss you might be awarded should your claim go to Court.
How much will it cost me?
Usually, your employer will make a contribution towards your legal costs when they have offered you a settlement agreement. We will discuss this with you at the start of your case and agree what the costs will be. In many cases, the employer’s contribution will cover the cost of the advice we give.
What we do...
Assess the Settlement Agreement offer
Advise on negotiating more favourable terms if necessary
Advise on legal measures should you choose to go to Court