The Settlement Agreement Waiver of Claims is commonly used when employment relationships are terminated or workplace disputes need resolution in England and Wales. This document provides a clean break between employer and employee, offering legal certainty to both parties. It typically includes detailed terms of the settlement, specific claims being waived, confidentiality provisions, and tax arrangements. The agreement must meet strict statutory requirements under English and Welsh law, including the requirement for independent legal advice, to be valid. It's particularly useful in situations involving redundancy, performance issues, discrimination claims, or other workplace disputes where both parties wish to avoid litigation.
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1. Parties: Identification and details of all parties to the agreement
2. Background: Context of the dispute or circumstances leading to the settlement
3. Definitions: Key terms used throughout the agreement
4. Settlement Sum: Details of the settlement payment and payment terms
5. Waiver of Claims: Comprehensive list of claims being waived
6. Tax Indemnity: Tax treatment of payments and related indemnities
7. Confidentiality: Obligations regarding confidentiality of the agreement and its terms
1. Reference Provision: Terms regarding future employment references - used when agreed reference terms are part of settlement
2. Post-termination Restrictions: Ongoing restrictions on employee activities - used when new or modified restrictive covenants are required
3. Company Property: Requirements for return of company property - used when employee has company assets to return
1. Schedule 1: Claims Being Settled: Detailed list of specific claims being waived
2. Schedule 2: Payment Details: Breakdown of settlement payments and tax treatment
3. Appendix 1: Agreed Reference: Format and content of agreed reference if applicable
4. Appendix 2: Adviser's Certificate: Independent legal adviser's certification as required by law
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