What is a Compromise Agreement?
A Compromise Agreement (now legally termed a Settlement Agreement) is a legally binding contract between an employer and an employee. It is usually used to end an employment relationship on agreed terms.
In exchange for signing the agreement—and waiving your right to bring future claims against your employer at an Employment Tribunal—you will typically receive a financial settlement (often tax-free up to £30,000) and an agreed employment reference.
Because you are signing away your legal rights, the law requires that you receive independent legal advice from a solicitor before the agreement becomes valid.
Our Role
Our expert solicitor, Christopher Stockdale, will review the terms of the agreement to ensure they are fair and that the compensation offered is adequate.
We don't just "rubber stamp" the document. If the offer is unfair, or if the terms are too restrictive, we can negotiate with your employer to secure a better package for you.
Why You Need Expert Advice
A Settlement Agreement covers much more than just money. We ensure all your interests are protected.
Maximising Compensation
We check that your redundancy pay, notice pay, and any ex-gratia payments have been calculated correctly and taxed efficiently. If we believe you have a strong claim for unfair dismissal or discrimination, we will advise you on negotiating a higher sum.
Agreed References
Leaving a job can be stressful, especially if there has been a dispute. We ensure the agreement includes an obligation for your employer to provide a fair, agreed reference to future employers, protecting your career prospects.
Restrictive Covenants
Employers often try to include clauses preventing you from working for competitors or contacting former clients. We review these restrictions to ensure they are reasonable and won't unfairly stop you from finding new work.
Confidentiality Clauses
Most agreements include "gagging clauses." We ensure these are mutual, so your employer is also prevented from making derogatory comments about you after you leave.
Fast, Expert Advice
We can often arrange same-day appointments to review your agreement. Contact Christopher Stockdale today.
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