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Tag: what is a settlement agreement

What is a settlement agreement?

A settlement agreement is a legally binding agreement between two parties, which was previously known as a compromise agreement. It is normally between an employer and an employee or two parties that were in that relationship before employment terminated. The employee agrees not to bring any claims against their employer in return for a lump […]

Why do employers offer settlement agreements?

Firstly, what is a settlement agreement? Well it is a legally binding agreement usually between an employee and their employer whereby the employer offers the employee a lump sum in excess of their normal entitlement to compromise any employment claims they may have. It must meet certain legal requirements to be a valid settlement agreement one […]