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What is a Settlement Agreement?

At mosshaselhurst we have many years experience of drawing up Settlement Agreements (formerly known as Compromise Agreements) on behalf of Employers and in particular advising employees as to their meaning and effect.

A Settlement Agreement is a document which records an employee’s agreement not to pursue a claim after termination of employment, such as unfair dismissal or breach of contract. The agreement provides certainty to both parties and is usually signed in exchange for a sum of money paid by the Employer.

Under the Employment Rights Act 1996 the agreement will only be valid and enforceable if certain terms are satisfied.

A Settlement Agreement should be tailored to the individual’s circumstances. However, there are some features that are common to most Settlement Agreements.

Please see our website for further information www.mosshaselhurst.co.uk or contact us on 01606 74301 or gmr@mosshaselhurst.co.uk or kerry.greatorex@mosshaselhurst.co.uk