Compromise Agreement Solicitors for Employees

Employment Law Firm

Click here if you're an employee

When you sign a Settlement Agreement (formerly known as a compromise agreement) or redundancy contract, you are giving up your right to pursue virtually any civil legal action against your employer in the future. In exchange for signing the agreement, your employer will award you a severance package, which will usually be monetary but can also include other items such as a favourable reference.

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Before signing away your rights, you must seek the advice of a lawyer who is experienced in employment law matters.

The employment law solicitors at Rollingsons are well-positioned to advise employees about the terms and conditions of compromise agreements because we also draft compromise agreements for employers. We know the law, we know what is fair, and we will use this knowledge to protect your best interests. In addition, we are able to provide our services quickly and effectively.

Common Issues in Compromise Agreements

Compromise agreements are tailored to each individual situation, but may include:

  • The reason for termination: Any reason other than compulsory redundancy may affect certain insurance policies.
  • Arrangements prior to termination: These include the specific amounts of money you will be paid in salary, holiday leave, expenses, bonuses, commissions, etc.
  • Garden leave: While you may not be required to come to work during your notice period, you will still remain an employee until your termination is final.
  • Payment in lieu of notice (PILON): We may be able to negotiate the duration of your notice period, but often this is stipulated in your employment contract.
  • Termination payment: We may be able to negotiate the amount of this payment and will advise you on the tax implications involved.
  • References: How the employer responds to any future requests for references about you can be specified in the agreement.
  • Restrictive covenants and confidentiality: Employers may ask you to refrain from certain actions, such as poaching employees, disclosing confidential information or intellectual property, or soliciting the company's customers or vendors

The terms of a compromise agreement can affect your financial and professional future for years to come. Please do not sign an agreement without first seeking competent legal advice. In most cases, the fees are paid for by the employer.

Our London compromise agreement solicitors are specialists in this area and provide a comprehensive and very efficient service. Please contact us online or call 020 7611 4848 for a free consultation with no-obligation.

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