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Settlement Agreements


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Settlement agreements are legally binding contracts which can be used to end the employment relationship on agreed terms. Their main feature is that they waive an individual’s right to make a claim to a court or employment tribunal on the matters that are specifically covered in the agreement. Settlement agreements may be proposed prior to undertaking any other formal process. They usually include some form of payment to the employee by the employer and may also include a reference.

Making a settlement agreement with your employer

ACAS Code of Practice on Settlement Agreements

Settlement Agreements Guidance

Settlement Agreement Resources

Last Updated: [07/02/2022]