At the termination of an employment relationship, or in the event that the employment relationship breaks down, it is quite common for employees to be offered a settlement agreement aimed at facilitating a clean break.
The main benefit for an employer is that the employee agrees to waive all of their legal rights and so the employer has the comfort of knowing that it is not going to be sued. The advantage for the employee is that they usually receive a tax-free termination payment.
In order to be legally binding, it is a requirement that employees receive independent legal advice as to the terms and effect of entering into the agreement. This is where we can assist. Alternatively, we can draft tailored settlement agreements for employers who are looking for a clean break with an employee.