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Settlement agreement legal advice

from £250 +VAT

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What is a settlement agreement?

A settlement agreement is a legally binding contract between an employer and employee which details an employee's claims against an employer. It also contains agreed terms including when the employment will be terminated, how much compensation is offered, how the employee will serve their notice period and more.

When is a settlement agreement used?

A settlement agreement is used where an employer and employee (ie you) wish to resolve potential statutory claims without litigation. 

When employment has come to an end (eg by dismissal by the employer), a settlement agreement can be used to agree on the terms under which you will leave your job.

A settlement agreement typically involves you receiving financial compensation in return for agreeing not to take your employer to court.

Is independent legal advice required?

Yes, settlement agreements can only be executed after you, as the employee, have received independent advice from a lawyer or other qualifying adviser.

The lawyer can sign the certificate in the settlement agreement to acknowledge that you have received legal advice.

What will you discuss with the lawyer?

You can discuss the terms and implications of the settlement agreement with the lawyer. The lawyer will gain an understanding of your situation and can advise on whether you have, for example, a potential claim for unfair or wrongful dismissal and as a result shouldn’t accept the terms of the agreement or should ask for more compensation. The lawyer can also advise you on how to potentially negotiate different terms.

How can Rocket Lawyer help?

Rocket Lawyer has a panel of solicitors available to provide you as an employee with specific, independent advice on your situation and your document.

As part of this service, our lawyer will review the settlement agreement. They will then schedule a 30 minute call with you to discuss the agreement and its implications with you.

At the end of the process, if you want to proceed with the settlement agreement, the lawyer can sign the agreement to say that they have given you advice.

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