SETTLEMENT AGREEMENT SOLICITORS

Leaving your employment under a settlement agreement can feel uncertain, particularly when your income, reputation and future career are at stake. Our employment law solicitors provide clear, independent advice on the terms you have been offered and what they mean for you. Whether you need a straightforward agreement reviewed or support negotiating a more complex exit package, HM3 Legal will protect your interests and help you move forward with confidence.

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We are experienced settlement agreement solicitors

A settlement agreement is a legally binding contract between you and your employer. It usually involves your employer offering compensation in return for you agreeing not to bring certain employment claims against them.

For the agreement to be legally valid, you must receive advice from an independent legal adviser. Our settlement agreement solicitors will explain the effect of each clause, identify any terms that could disadvantage you and confirm whether the compensation offered reflects your circumstances.

We can advise you on:

  • Settlement payments and compensation.
  • Notice pay and outstanding wages.
  • Holiday pay, bonuses and commission.
  • Potential Employment Tribunal claims.
  • Confidentiality clauses.
  • Agreed employment references.
  • Whistleblowing situations.
  • Restrictive covenants.
  • Pension and share scheme arrangements.
  • Tax treatment of termination payments.
  • Legal fees paid by your employer.
  • Your termination date and exit arrangements.
  • Negotiating improved settlement terms.
  • Protecting your professional reputation.

Our settlement agreement solicitors

Our settlement agreement legal services

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Reviewing your settlement agreement

Before signing a settlement agreement, it is essential to understand exactly what rights you are giving up and whether the proposed terms protect your interests. Our solicitors will carefully review the full agreement, explain each clause in plain English and identify anything that may need to be changed. We will check the proposed compensation, notice pay, holiday entitlement, bonus payments, confidentiality provisions, reference wording and any restrictions affecting your next role. We can also advise whether you may have potential claims for unfair dismissal, discrimination, redundancy pay or breach of contract.

Once you are satisfied with the terms, we can sign the required adviser’s certificate to make the agreement legally binding. Employers will often contribute towards the cost of obtaining this independent legal advice.

Negotiating improved settlement terms

You do not have to accept the first settlement agreement offered by your employer. If the compensation is too low or the wider terms do not reflect your circumstances, our employment law solicitors can negotiate on your behalf. We will consider your salary, length of service, contractual entitlements, reason for leaving and the strength of any potential employment claims. We can then approach your employer or their solicitor to request improved compensation and more favourable exit terms.

Negotiations may also cover notice pay, bonuses, commission, accrued holiday, an agreed reference, confidentiality obligations and restrictions on future employment. Our aim is to secure a fair overall package while helping you avoid unnecessary conflict, delay and uncertainty during what can already be a difficult period in your working life.

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Complex and senior employee settlements

Settlement agreements involving directors, executives and senior employees can include more than a single compensation payment. They may involve substantial bonuses, shares, options, long notice periods, directorships, pension arrangements and restrictive covenants that could affect future career opportunities. Our solicitors can advise on the complete financial and professional impact of the proposed agreement. We will examine how the termination affects your contractual benefits, share schemes, deferred remuneration, company property, public announcements and future employment.

We can also negotiate suitable reference wording and agreed communications to protect your professional reputation. Where allegations, discrimination, whistleblowing, performance concerns or workplace disputes are involved, we will provide strategic advice tailored to the circumstances. HM3 Legal will help you secure an agreement that supports both your immediate position and your future plans.

Our legal offices

Chester

Gorse Stacks House
George Street
Chester
CH1 3EQ

Liverpool

Exchange Station
Tithebarn Street
Liverpool
L2 2QP

Manchester

Charter House
Woodlands Road
Altrincham
WA14 1HF

Wirral

6 Abbots Quay
Monks Ferry
Birkenhead
CH41 5LH
(By prior appointment only)

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Settlement agreements key contact: Justine Watkinson

Justine Watkinson HM3 Legal recommended employment lawyer in Chester, Liverpool and Manchester
Partner and Engagement Director

Justine Watkinson is a Partner at HM3 Legal, bringing decades of legal and commercial experience to employment law and HR matters. Supporting HR teams, providing tailored training covering employment law and culture, and transforming workplaces are her areas of expertise. Known for practical, people-focused advice, she helps businesses understand their culture, manage change and plan for expansion. A trusted legal adviser and positive change-manager, Justine combines commercial insight with genuine commitment to clients, colleagues and business impact.

Have you been offered a settlement agreement?

Receiving a settlement agreement can leave you unsure whether the offer is fair, how quickly you need to respond and what signing it could mean for your future.

Our approachable employment law solicitors will explain your options clearly and help you make an informed decision (before signing anything). We can review the agreement, advise on any potential employment claims and negotiate changes where the proposed terms do not adequately protect you.

Contact HM3 Legal today for independent advice about your settlement agreement and the next steps available to you.

Settlement agreement FAQs

What is a settlement agreement?

A settlement agreement is a legally binding contract between an employer and an employee. The employer will usually offer a compensation payment or other benefits in exchange for the employee agreeing not to bring specified legal claims. Agreements are commonly used when employment is ending, although they can also resolve disputes while employment continues. To be legally valid, the employee must receive advice from an independent solicitor or another suitably qualified adviser before signing the document.

Yes. A settlement agreement will not normally be legally binding unless you have received independent advice from a suitably qualified adviser about its terms and effect. A solicitor will explain which employment claims you are agreeing to waive and highlight any clauses that could affect you. HM3 Legal can review the agreement, recommend amendments and sign the adviser’s certificate once you understand and accept the final terms. Your employer will usually contribute towards the cost of this advice.

No. The first offer is not necessarily the final amount or set of terms available. You may be able to negotiate a higher compensation payment, an improved reference, changes to confidentiality clauses or the removal of restrictions affecting future employment. The strength of your position will depend on your circumstances, contractual rights and any potential employment claims. Our settlement agreement solicitors can assess the offer and negotiate with your employer where there are reasonable grounds to request better terms.

There is no fixed amount because settlement compensation depends on your individual circumstances. Relevant factors may include your salary, length of service, notice entitlement, reason for leaving, potential employment claims and how long it may take you to find another role. Any contractual payments should also be considered separately. HM3 Legal can assess the financial value of the offer (before you sign anything), explain whether it appears reasonable and negotiate for an improved package if the proposed compensation does not properly reflect your position.

The ACAS Code of Practice suggests that employees should usually be given at least 10 calendar days to consider the written terms and obtain independent advice. The appropriate period may depend on the circumstances, and employers sometimes set shorter deadlines. You should avoid signing under pressure without understanding the agreement. If the proposed deadline does not provide enough time, your solicitor can request an extension and advise whether any employment tribunal time limits also need to be protected.

Photos: Filip Rankovic Grobgaard, Vitaly Gariev, Olga Serjantu from Unsplash.

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