Compromise Agreements

 

Compromise agreements, where an employee agrees not to make a claim against their employer in return for a financial settlement, were introduced under the Trade Union Reform and Employment Rights Act in 1993, and are predominantly used in cases of redundancy, unfair dismissal or unlawful discrimination.

A compromise agreement is valid if:

  • It’s in writing
  • It relates to a particular complaint or proceedings.
  • The employee has received independent legal advice from a relevant adviser as to the terms and effect of the proposed agreement
  • The adviser has insurance or an indemnity covering the risk of a claim by the claimant in respect of loss arising as a result of the advice
  • It identifies the adviser
  • It states that the conditions relating to compromise agreements under the relevant act or regulations are satisfied.

Case Study

  • Meeting to clarify the scope of the project (1 hour on site)
  • Supporting ‘without prejudice’ discussions with the employee
  • Preparation of the compromise agreement
  • Negotiation with the employee’s advisor
  • Unlimited telephone and admin support during the project

Price: £900