Employment disputes can be time-consuming, expensive and potentially embarrassing for an employer, but they can often be resolved quickly, cost-effectively and privately with a settlement agreement.
Settlement agreements allow you to agree with an employee or former employee that they will not bring an employment claim in exchange for a one-off payment. This approach is generally much faster than taking the matter to an employment tribunal and the legal costs involved are generally far lower. It also avoids the negative publicity that can be associated with an employment tribunal.
At Morlings Solicitors, our employment lawyers are highly experienced in using settlement agreements to resolve a wide range of employment disputes. With strong skills in negotiation and alternative dispute resolution, we can typically achieve a settlement that works for your organisation quickly, with minimal hassle and expense.
Whether you need help drafting a settlement agreement, are looking for representation during settlement negotiations or require someone to provide independent advice to an employee on a settlement agreement you wish them to sign, we are here for you.
Book a fixed cost initial consultation with our employment lawyers in Maidstone
To arrange an initial appointment with our employment law solicitors for a fixed cost of £150 plus VAT, please call us on 01622 673081 or use our simple contact form and we will get back to you quickly.
Morlings Solicitors is now incorporated by Hatten Wyatt, meaning you can also access our divorce law expertise through local offices in Chatham, Gravesend, Tenterden and Tonbridge.
We can also offer meetings by Skype for clients who have to travel extensively or who now live abroad. Visits to your business premises can also be arranged where required.
How we can help your business with a settlement agreement
Drafting settlement agreements
It is essential that a settlement agreement is drafted the right way to protect your organisation. It will need to cover all of the potential issues from which an employment claim could arise and comply with all relevant legislation.
Our employment lawyers in Maidstone can draft a settlement agreement for you that meets all of these requirements, giving you the best chance of achieving a positive resolution to an employment dispute quickly and cost-effectively.
Settlement negotiations
It may be necessary to sit down with an employee or former employee to negotiate the terms of a settlement before an agreement can be drafted. In such cases, it is important to have expert legal guidance and representation during these negotiations to give you the best chance of reaching an agreement that meets your needs.
Our team can support you during every stage of settlement negotiations, making sure you are clear about what you need to achieve and where there is room for compromise. We can help to keep the negotiations productive and amicable, making the whole process more effective.
Settlement agreement advice for employees
When you offer a settlement agreement to an employee or former employee, it is a legal requirement that they are provided with independent legal advice before signing the agreement. It is common for employers to fund this advice in order to make sure this condition is met.
We can act for you, providing independent legal advice for employees individually or in relation to mass settlement agreements as part of redundancy proceedings.
Settlement agreement FAQs
What is a settlement agreement?
Settlement agreements are legally binding written contracts between an employer and an employee that can be used to settle an employment claim brought by that employee or to head off a potential claim an employee might bring.
Settlement agreements are commonly used to protect against a potential claim when making someone redundant or otherwise dismissing them, or where a former employee notifies you of their intent to bring a claim against you for unfair dismissal or constructive dismissal.
They can also be used to resolve any other type of employment dispute, including where an employee is still working for your organisation or where a prospective employee was turned down for a job and has stated their intention to make a claim.
What is the difference between a settlement agreement and a compromise agreement?
Settlement agreements replaced compromise agreements from 29 July 2013 and are broadly the same.
The main difference is that, at the time of the name change, the government also introduced changes to make it easier for employers to hold pre-termination negotiations with employees on a ‘without prejudice’ basis. This means anything said in these negotiations or any concessions made cannot be referred to by the employee if they later decide to bring an employment claim against the employer.
What should a settlement agreement include?
A settlement agreement can only cover specific issues, it cannot bar an employee for bringing a claim for any and all reasons. It is therefore important to make sure you get expert legal advice to ensure any potential grounds for a claim are included in the agreement.
It is also common to include a confidentiality clause or ‘non-disclosure agreement’ in the contract, requiring the employee not to discuss the dispute or the details of the settlement.
Are settlement agreements legally binding contracts?
Yes, a settlement agreement will be legally binding as long as it meets the following conditions:
- It is in writing
- It covers a specific dispute
- It is drafted by an independent lawyer who is named in the agreement
- It sets out the details of the agreement
- It states the relevant laws under which the agreement is made
- The employee is provided independent legal advice and time to consider the agreement before signing
Our employment law pricing
Fixed cost initial appointment
We offer an initial appointment to discuss your requirements at a fixed cost of £150 plus VAT.
Fixed fee settlement agreement advice
In many cases, we can deal with key elements of the settlement agreement process on a fixed cost basis, giving you certainty over the costs involved for your business.
Monthly billing
We can offer flexible payment terms for our employment law services, including monthly billing to help with your budgeting.
Why choose Morlings Solicitors for settlement agreement advice?
Our team have many years of experience advising employers on the use of settlement agreements to resolve employment disputes and avoid potential employment disputes. We can provide clear, pragmatic advice to help protect your organisation legally and avoid potential damage to your reputation.
We also have strong expertise in Acas early conciliation and employment tribunal representation should an employee be unwilling to accept a settlement agreement.
Get in touch with our employment lawyers in Maidstone
To arrange an initial appointment with our employment law solicitors for a fixed cost of £150 plus VAT, please call us on 01622 673081 or use our simple contact form and we will get back to your quickly.
Morlings Solicitors is now incorporated by Hatten Wyatt, meaning you can also access our divorce law expertise through local offices in Chatham, Gravesend, Tenterden and Tonbridge.
We can also offer meetings by Skype for clients who have to travel extensively or who now live abroad. Visits to your business premises can also be arranged where required.