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An employer cannot contract out of an employee’s right to present a claim to an employment tribunal unless either they negotiate a COT3 agreement through Acas or there is a Settlement Agreement.  Essentially, the Settlement Agreement is a legal contract which is intended to waive any employment-related claims and achieve a binding clean break “full and final settlement” between the parties.

There are six statutory conditions which are required for a Settlement Agreement to be valid:

  1. The agreement must be in writing.
  2. It must relate to a “particular complaint”.
  3. The employee must have received independent legal advice.
  4. The employee’s adviser must have a policy of insurance in force.
  5. The agreement must identify the employee’s legal adviser.
  6. The agreement must state that the statutory conditions relating to Settlement Agreements have been satisfied.

The employer will usually agree to pay a fixed amount towards the legal costs for the employee to get independent legal advice on the terms and effect of the Settlement Agreement.

Typically the advice will be given by a specialist employment solicitor (but it could also be from a trade union representative or advice worker authorised to advise on these agreements).

Nowadays Settlement Agreement meetings don’t have to take place personally ‘face to face’.  Frequently these meetings can be dealt with remotely, and the solicitors are able to have consultations over video call or telephone.

Chris J. Hugo

Partner

Knocker & Foskett Solicitors

01732 748 808

[email protected]

Elaine Abbs

Solicitor

Rix & Kay Solicitors

01732 441 125

[email protected]

Catherine Daw

Partner – Head of Employment Team

Brachers

01622 655 291

[email protected]

Angie Crush

Partner & Joint Head of Employment Team

Thomas Mansfield Solicitors

07962 171 816

[email protected]

Emma Thompson

Partner

Thackray Williams Solicitors

07813 128 977

[email protected]

Paul Reader

Managing Partner

Berry & Lamberts Solicitors

01732 460 565

[email protected]

Nick Hobden

Partner

Thomson Snell & Passmore

01322 422 540

[email protected]

Philip Booth

Solicitor/Director

Booth Law

020 3105 0454

[email protected]

Jessica Cox

Solicitor

Warners Solicitors

01732 375 356

[email protected]

Rupert Butler

Barrister, Head of Legal Practice

Leverets

07973 428 874

[email protected]

Samir Moftah

Solicitor/Director

Manak Solicitors

01732 207 207

[email protected]

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