Settlement Agreements
In most cases, your employer will contribute to the cost of this legal advice.
Settlement Agreements Solicitors in Cheltenham
If you’ve been offered a settlement agreement by your employer, it’s important to get independent legal advice before signing. At Pembridge Solicitors, we advise employees across Cheltenham and Gloucestershire on the terms of settlement agreements — helping you understand your rights and secure the best possible outcome.
Settlement agreements (formerly called compromise agreements) are legally binding documents used to bring employment to an end or resolve disputes. Once signed, you usually waive your right to bring any future legal claims — so it’s essential the terms are clear and fair.
What Is a Settlement Agreement?
A settlement agreement is a contract between you and your employer, often offered in situations such as:
- Redundancy
- Workplace disputes or grievances
- Performance issues
- Long-term sickness or absence
- Termination by mutual agreement
In return for signing the agreement, you’ll typically receive a financial package and a reference. In some cases, non-disclosure clauses or post-employment restrictions may also be included.
Why Legal Advice Is Required
You must receive independent legal advice for the agreement to be valid. We’ll:
- Review the agreement line by line
- Explain what the terms mean and how they affect your rights
- Advise whether the offer is fair — and negotiate improvements if needed
- Ensure your compensation reflects your notice period, holiday pay, and statutory rights
- Help you decide whether to accept, reject, or request changes
In most cases, your employer will contribute to the cost of this legal advice.
What Should Be Included in a Settlement Agreement?
A fair agreement should usually include:
- A clear explanation of payments (e.g. redundancy, notice, bonuses)
- A reference clause, if relevant
- An agreed termination date
- Waiver of claims wording
- Confidentiality and non-derogatory clauses
- Payment of legal fees
We’ll ensure the terms protect your interests — not just your employer’s.
Why Choose Pembridge Solicitors?
Based in Cheltenham, we offer responsive, experienced legal advice on all types of settlement agreements. We’ll guide you through the process with clarity, negotiate on your behalf if needed, and make sure you’re treated fairly from start to finish.
Speak to a Settlement Agreement Solicitor in Cheltenham
If you’ve received a settlement agreement or want advice before signing, contact Pembridge Solicitors today. Call 0330 900 0377 or complete our online enquiry form. A member of our employment law team will be in touch.
How to Find Us
Calderwood House
Montpellier Parade
Cheltenham
GL50 1UA
If you need directions or have any questions before visiting, feel free to call us.
Frequently Asked Questions About Divorce
A settlement agreement is a legally binding contract between an employer and an employee, usually used to resolve workplace issues or end employment on agreed terms. It often includes compensation in return for the employee waiving certain rights to bring legal claims.
Yes, it’s a legal requirement. You must receive independent legal advice before signing for the agreement to be valid. We’ll review the terms with you, explain your rights, and ensure you’re getting a fair deal.
Absolutely. If the initial offer isn’t fair or clear, we’ll negotiate with your employer to improve the compensation, clarify terms, or adjust restrictions—always with your best interests in mind.
You’re under no obligation to sign a settlement agreement. We’ll explain your options and help you respond confidently, whether that means negotiating better terms or exploring alternative routes.
We can usually offer same-day or next-day reviews, depending on availability. We understand that timing is often tight, and we prioritise urgent cases.
Yes, in most cases your employer will contribute towards your legal fees as part of the agreement. We’ll discuss costs with you clearly, and in many cases, our advice is fully covered.
Typically, yes. Most include confidentiality clauses that apply to both parties. We’ll explain what you can and can’t say and ensure the terms are reasonable.
Once signed, the agreement is legally binding and you’ll usually receive payment shortly after. We’ll make sure you understand your rights and obligations so you can move forward with confidence.
