The Settlement Agreement No Further Claims is utilized when an employer and employee wish to formally terminate their employment relationship and resolve any potential disputes. It is commonly used in situations involving redundancy, mutual separation, or resolution of workplace disputes. The agreement, governed by the laws of England and Wales, provides certainty to both parties by preventing future employment-related claims in exchange for agreed compensation. It must meet strict legal requirements, including independent legal advice for the employee, to be valid. The document typically covers termination payments, tax treatment, confidentiality obligations, and a comprehensive waiver of claims.
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1. Parties: Identification of the employer and employee
2. Background: Context of the settlement and employment relationship
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specific date employment ends and terms of termination
5. Settlement Payments: Details of all payments to be made including amounts, timing and method
6. Tax Treatment: Tax implications of payments and tax indemnities
7. Waiver of Claims: Employee's comprehensive waiver of employment-related claims and statutory rights
8. Legal Advice: Confirmation of independent legal advice received by the employee
9. Confidentiality: Obligations regarding confidentiality of the agreement and company information
1. Reference: Terms of employment reference and agreed wording
2. Post-Termination Restrictions: Ongoing restrictions after employment ends including non-compete and non-solicitation
3. Company Property: Return of company property provisions and timeline
4. Outplacement Support: Details of career transition support services provided
5. Announcement: Agreed internal and external communications regarding departure
1. Schedule 1: Claims: Detailed list of statutory claims being settled under the agreement
2. Schedule 2: Adviser's Certificate: Independent legal adviser's certification of advice given
3. Schedule 3: Reference: Agreed form of reference template to be used
4. Schedule 4: Payment Details: Breakdown of settlement payments and payment schedule
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