Settlement Agreements - Jonathan Lea Network

An employment Settlement Agreement can be an incredibly effective way to resolve a dispute with an employer. In many cases it will be a more efficient and cost-effective solution to a court case or tribunal claim. Most often a settlement agreement will be entered into once the employment has ended or is soon to be terminated. The employer will typically agree money to pay to the employee which may be due under the contract between them or as an ex-gratia amount known as a ‘termination payout’.  In exchange the employee will agree to waive outstanding claims against the employer.

Once the agreement is signed it becomes legally binding on both parties. Therefore, a number of contractual provisions will be required within the agreement. These are often included for the benefit of both parties and may include a confidentiality clause where both parties promise not to discuss the agreement or talk negatively of one another.

How we can help you?

In almost every case it is a requirement that you seek legal advice in relation to the Settlement Agreement. A solicitor must sign an Advisor’s Certificate confirming that you have received independent advice. We can also help you to understand if there are any tax implications arising from the terms agreed.

We have extensive experience in assertively and critically reviewing draft Settlement Agreements. Our team successfully negotiate stronger settlement figures and improvements to references ensuring our clients have the best possible chance of securing another position as soon as possible.

If you have received a settlement agreement and would like a legal opinion, our experienced team are here to give you advice and guidance.

Some areas we have particular experience in are as follows:

  • Employment contracts, policies and procedures
  • Job Retention Scheme (furlough)
  • TUPE
  • Restrictive covenants and business protection
  • Discrimination complaints
  • Whistleblowing
  • Long-term sickness absence
  • Disciplinary grievance procedures
  • Restructuring and redundancy
  • Employment tribunals
  • Dispute resolution
  • Settlement agreements
  • Changing Terms of Employment
  • Working time regulations


We also identify and advise on other relevant areas of law, such as: Civil and personal dispute resolution, declarations of trusts and mediation.

Our Settlement Agreements Team

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