The importance of compromise agreements


By Curtis Brown

Compromise agreements are one of the most common enquiries we receive at Caven. It is an arrangement between an employer and an employee that settles all disputes with a financial package.

It is a legal requirement that an employment solicitor reviews it and signs it along with the employee. This is because once the compromise agreement is signed, neither party will be able to make a claim on the other, unless the compromise agreement has been breached.

As a telephone advisor, these enquiries are fairly unproblematic due to Caven’s vast UK network of employment solicitors who deal with compromise agreements on a daily basis. Therefore, we are ideal for recommending independent practitioners whose only purpose is to protect the client.

Due to the legal necessity of using employment solicitors, the employer must allocate a certain amount of money to pay the solicitor’s fees on behalf of the employee. However, one question which regularly crops up is whether the employer has provided enough funds to scrutinise the agreement to the employee’s satisfaction. Again this is a fairly unproblematic issue for us as we will put you in touch with a suitable employment solicitor for free so you can discuss this directly.

As a telephone advisor I can say that I have not heard of an employee needing to top up their allowance yet. We will not only find an experienced solicitor but also one that is likely to work within your budget.

Compromise agreements often stem from a broken-down employment relationship, which has often been quite stressful for both parties and especially for the employee. Therefore, we understand that an employee may not want to face added stress with additional costs. Many of Caven’s clients actually approach us before receiving an agreement, which works to their advantage. We can find a solicitor in advance and prepare you for what may lie ahead. One particular client who requested help had the agreement in their hands but was completely unaware of the legal requirement and costs!

I put them in touch with a very experienced employment solicitor as their situation implied the company may not have been acting in good faith.

Compromise agreements have the ability to simplify the lives of employees after they have made a difficult decision. Caven will make closing this chapter easier and you can be sure that the advice will only have your best interests.

If you have received a compromise agreement or need further advice, Caven can put you in touch with a specialist employment law solicitor. Please call 08001 221 2299 or fill out the web-form opposite.

Curtis Brown is one of Caven’s most experienced and knowledgeable telephone advisors.

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