What is a Settlement Agreement?

A Settlement Agreement is a legal contract between you and your employer. It usually means you’ll leave your job in exchange for a money payment and other benefits. Once you sign it, you give up your right to make work-related claims against your employer.

Before signing any agreement, getting proper legal advice to protect your interests is vital.

When Might You Be Offered a Settlement Agreement?

You might be offered a Settlement Agreement in situations like:

1.   Redundancy – Your employer may prefer this to a formal redundancy process
2.   Workplace disagreements – If you’ve raised concerns about your treatment at work
3.   Potential dismissal – When your employer wants to avoid unfair dismissal claims
4.   Agreed departures – When both sides feel it’s best to part ways

Why Do Employers Offer Settlement Agreements?

Employers typically offer these agreements to:

1.   Prevent employment tribunal claims
2.   Keep company matters private through confidentiality clauses
3.   End employment quickly and cleanly
4.   Protect their business interests with restrictions on where you can work next

Do You Have to Accept a Settlement Agreement?

No. You always have the right to:

1.   Negotiate better terms
2.   Refuse the agreement completely
3.   Seek professional advice before making any decision

What’s Typically Included in a Settlement Agreement?

Most Settlement Agreements contain:

1.   Financial payment – The amount you’ll receive
2.   End date – When your employment will finish
3.   Reference details – What your employer will say about you to future employers
4.   Confidentiality terms – What you can and cannot say about the agreement and your employer
5.   Restrictions – Any limits on where you can work next
6.   Legal costs contribution – Money towards your legal advice fees

Your Employer’s Responsibilities

Your employer must:

1.   Give you the agreement in writing
2.   Allow you enough time to get legal advice
3.   Pay towards your legal advice costs
4.   Ensure you’re not forced into signing

The Importance of Getting Legal Advice

A solicitor will:

1.   Explain what the agreement means in simple terms
2.   Tell you if the money offered is fair
3.   Check if you have any claims worth more than the offer
4.   Help negotiate better terms if needed
5.   Make sure you understand what rights you’re giving up

How Davenport Solicitors Can Help You

Our team of employment specialists will:

1.   Review your agreement carefully
2.   Explain everything in plain English
3.   Help you negotiate the best possible deal
4.   Ensure your interests are protected
5.   Complete the process quickly and efficiently

Why Choose Davenport Solicitors for Settlement Agreement Advice?

1.   Specialist knowledge – We focus on employment law
2.   Employee-centred approach – Your best interests are our priority
3.   Plain English explanations – No confusing legal jargon
4.   Negotiation expertise – We know how to get better deals
5.   Responsive service – Quick advice when you need it most 

Get Expert Settlement Agreement Advice Today

Don’t sign anything without proper legal advice. Contact Davenport Solicitors today for a confidential discussion about your Settlement Agreement.

Common Questions About Settlement Agreements

1. Will my employer pay for my legal advice?
   Most employers contribute to legal costs. We’ll discuss this with you upfront.
2. What if I don’t want to sign?
   You don’t have to sign. We’ll explain your other options and potential next steps.
3. Can I negotiate for more money?
   Yes, in many cases. We’ll help you understand what might be reasonable to ask for.
4. Will I get a reference?
   Most agreements include reference terms. We’ll check these carefully.
5. How quickly will I receive my payment?
   The agreement should specify this, usually within 7-28 days of signing.