Compromise Agreement Solicitors & Lawyers

Employment Law, Redundancy, Confidentiality, Compromise Agreement

admin — Thu, 17 May 2012 14:50:26 +0000

From our experience of advising on redundancies, we have seen that clients often overlook the importance of confidentiality. It is standard practice for a compromise agreement to contain a confidentiality clause, which typically outlines a promise made by the employee not to disclose anything relating to his or her employment, termination or compromise agreement to anyone, except legal advisers, immediate family and where the law requires.

The consequence of breaching such a provision could result in having to repay any redundancy payment received, due to a breach of contract.

As employment law solicitors, we have witnessed situations where this promise is potentially difficult for clients to keep. For example, if an employee is asked specifically the reason for leaving their employment, he or she would need to provide some reason. This is especially important if seeking a new job and at a job interview.

Employees should consider whether it is a good idea to have an agreed statement, which can be used if asked such a question. This may call for some negotiation.

Legal advice should be sought on this point and in relation to the terms of a compromise agreement.

If you require further information on the above from specialist employment law lawyers, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

© RT COOPERS, 2012. This Briefing Note does not provide a comprehensive or complete statement of the law relating to the issues discussed nor does it constitute legal advice. It is intended only to highlight general issues. Specialist legal advice should always be sought in relation to particular circumstances.

Employment Law, Meaning of Redundancy, ETO Reasons, Compromise Agreement

admin — Mon, 14 May 2012 11:15:50 +0000

Following our last post, there is a second aspect to the meaning of redundancy, which is whether the requirement of a business for employees to carry out work of a particular kind has ceased or diminished.

As an employer seeking to make redundancies, you would need to show that there is no need for an employee’s role in the business due to an economic, technical or organisational reason (ETO reasons), and that selection for redundancy is fair.

If you require further information on the above from specialist employment law lawyers, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Meaning of Redundancy, Compromise Agreement

admin — Sun, 13 May 2012 10:50:35 +0000

As employment law solicitors, we are often required to clarify the meaning of redundancy when advising clients. From an employee’s perspective, the test for redundancy is whether the requirement for an employee’s role to the company to carry out work of a particular kind or of a particular kind in the place where the individual was employed has ceased or diminished.

As an employee, in order to contest being made redundant you would need to establish that your role still exists.

If you require further information on your redundancy rights or the terms of your compromise agreement, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Compromise Agreement, Redundancies, Termination Payment

admin — Wed, 09 May 2012 11:27:16 +0000

From what we have witnessed as employment law solicitors, in this climate some employees are not being paid for up to four months. From an employee’s position, particularly one who is being made redundant, we would want to ensure safeguards are put into the compromise agreement to ensure that following execution of the agreement by both parties, the employee will be able to bring proceedings against the employer if the employer has not paid the redundancy payment, to avoid breach of compromise agreement.

The idea of a compromise agreement is to be in full and final settlement and part of this means that typically no legal action can be brought against the employer. Therefore if proceedings were to be brought, with both parties having signed the compromise agreement, it would be a breach. However, appropriate safeguards could be implemented to circumvent this.

Employment Law, Compromise Agreements, Redundancies, Without Prejudice

admin — Tue, 08 May 2012 10:20:06 +0000

We regularly advise people who are being made redundant on the terms of their compromise agreements. Usually a compromise agreement is “without prejudice subject to contract” before signed. Once it is signed, the agreement becomes binding on both the employee and the employer, and can be used as evidence in court. This is important in relation to redundancies because both parties have to adhere to the terms of the agreement such as, the confidentiality obligations and for the employer to pay the redundancy payment to employee.

If you require further information from experienced employment law solicitors, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Post-Termination Restrictions, Employment Law Solicitors, Confidentiality

admin — Fri, 04 May 2012 11:42:34 +0000

There seems to be a lot of misconception in relation to confidentiality obligations when it comes to being made redundant. It should not be a surprise to employees that they have to keep the terms of a compromise agreement confidential along with any information they come across during their employment.

As employment law solicitors, we stress that confidentiality is one of the most important provisions of a compromise agreement because a breach would mean a breach of contract. Moreover, the employee in breach would have to repay the redundancy payment (ex gratia payment) as a debt for breach, or this amount would be set off against any award made to employee.

If you require further information on confidentiality provisions or on the terms of your compromise agreement, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Post-Termination Restrictions, Employment Law Solicitors

admin — Thu, 03 May 2012 08:42:12 +0000

If you are looking for a new job whilst employed, our law firm would always recommend looking at the post-termination restrictions contained in your employment contract before making any decisions. As employment law solicitors, we would advise you that the main reason for this is that both you and your new employer would need to know exactly what those restrictions may be. For example, it is common for non-compete restrictions to last for up to 1 year. Also, you would need to know what you are able to disclose to your new employer about your previous position. Both of these are extremely important if you are looking to work for a competitor.

The above caution would also apply if you are being made redundant.

If you require further information on post-termination restrictions or on redundancies, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Redundancies, Compromise Agreement, Independent Legal Adviser

admin — Wed, 02 May 2012 09:13:55 +0000

If you are being made redundant and your employer provides you with a compromise agreement, a date would normally also be provided by which you must have returned it. The employee must ensure the compromise agreement is signed along with the adviser’s certificate, which is signed by the independent legal adviser, and returned by the specified date. Otherwise, there is a risk of losing the package offered (if the employer was initially providing enhanced redundancy payment), and only receiving what is due under statutory redundancy.

It is always best to consult employment lawyers at the earliest opportunity.

If you require further information on redundancies, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Redundancy, Share Options, Stock Options

admin — Tue, 01 May 2012 08:22:35 +0000

From our experience of advising employees on redundancies, the issue of stock or share transfers can be complex. If employees who are told they are at risk of redundancy have any stock or share options in the company employing them, they should seek immediate legal advice about the vesting of these shares, before deciding on whether to leave their employer.

As employment law solicitors, we have seen cases where if an employee were to resign, there is a risk that their shares would not vest and he or she would not get paid – thereby losing the right to the shares or stock options. In some cases, shares are not due to vest until after leaving the company. Where this is so, it may be possible to reach some form of agreement with the employer company by negotiation.

If you require further information about your redundancy rights, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

Employment Law, Redundancy, Maternity Leave, Unfair Dismissal, Constructive Dismissal

admin — Fri, 27 Apr 2012 09:28:08 +0000

We are seeing many women facing redundancy whilst on maternity leave. Employees tend to think that because they are on maternity leave when they are selected for redundancy, this automatically means they have a case for unfair dismisal if they are made redundant, or for constructive dismissal if they resign. The position is that, if the employer can show ETO reasons (economic, technical or organisational reasons) for the redundancy and that the selection was fair, the employer would be able to succeed in any action for either unfair dismissal or constructive dismissal.

If you require further information about your redundancy rights, please contact us at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law: