Settlement Agreemenf Flashcards
(44 cards)
What is a settlement agreement in UK employment law?
A settlement agreement is a legally binding contract between an employer and an employee that settles disputes and typically includes the employee waiving their right to make a claim to an employment tribunal.
True or False: A settlement agreement must be in writing.
True
What is one key requirement for a settlement agreement to be valid?
The employee must receive independent legal advice before signing the agreement.
Fill in the blank: A settlement agreement typically includes a _______ clause, which prevents the employee from making further claims against the employer.
gag
What is the minimum age requirement for an employee to enter into a settlement agreement?
The employee must be at least 18 years old.
Which of the following is NOT a formal requirement for a settlement agreement? (a) Must be in writing (b) Must be signed by both parties (c) Must be notarized
c) Must be notarized
What should the settlement agreement specify regarding the claims being settled?
It should specify the claims that are being settled or waived by the employee.
True or False: An employer can unilaterally change the terms of a settlement agreement after it has been signed.
False
What is the role of independent legal advice in a settlement agreement?
It ensures that the employee understands the terms and implications of the agreement.
Fill in the blank: A settlement agreement must include a statement confirming that the employee has received _______ legal advice.
independent
What type of claims can be included in a settlement agreement?
Any employment-related claims, including unfair dismissal, discrimination, and breach of contract.
True or False: A settlement agreement can be used to settle future claims that have not yet arisen.
True
What is the purpose of a confidentiality clause in a settlement agreement?
To prevent the employee from disclosing the terms of the agreement or the circumstances leading to it.
Which party typically pays for the independent legal advice in a settlement agreement?
The employer usually pays for the employee’s independent legal advice.
Fill in the blank: A settlement agreement is often used in cases of _______ termination.
voluntary
What happens if a settlement agreement is deemed invalid?
The employee may still pursue their claims in an employment tribunal.
True or False: A settlement agreement can be negotiated verbally.
False
What is a common reason for employers to offer settlement agreements?
To avoid the costs and risks associated with an employment tribunal claim.
Fill in the blank: A settlement agreement can include a _______ payment, often referred to as a ‘hush money’ payment.
compensatory
What does the term ‘without prejudice’ mean in the context of settlement discussions?
It means that statements made during negotiations cannot be used as evidence in court.
True or False: Employees can be forced to accept a settlement agreement.
False
What is the effect of a ‘full and final settlement’ clause in a settlement agreement?
It prevents the employee from bringing any further claims related to the issues covered by the agreement.
What is the standard time frame for an employee to consider a settlement agreement?
Typically, at least 10 days is advised for the employee to consider the agreement.
Fill in the blank: A settlement agreement must be signed by both the employer and the _______.
employee
