Compromise Agreements

A Compromise Agreement is a written, standardised agreement between employer and employee to terminate the employment contract by consent, with the employer paying the employee’s legal fees.

Compromise Agreements are commonly used to cover a variety of circumstances. Many employees ask us why their Employer is so keen for them to sign a formal Compromise Agreement. The reason for this is that a Compromise Agreement is the only way in which an employer can obtain finality and assurance that the employee will not pursue claims.

The essence of a compromise agreement is that in return for the employee signing the agreement, he or she will generally receive an extra ex gratia payment, free of tax up to £30,000.00 and will be advised by an independent lawyer, free of charge (with the lawyer’s fees paid by the employer) before signing.

Our solicitors are specialists in Compromise Agreements and we offer a free of charge (to the employee) nationwide, immediate service, which generally means that the compromise agreement can be finalised very quickly and without an office visit.

Please call us now on 020 7125 0194 to speak immediately to a London based Compromise Agreement specialist solicitor. More detailed information on Compromise Agreements can be found in the FAQs.