Do we have to pay the employee’s legal costs in taking advice on the agreement?

Do we have to pay the employee’s legal costs in taking advice on the agreement?

There is no requirement to pay the employee’s legal costs in taking advice on the terms and effect of the settlement agreement, although it is commonplace for a contribution to be paid, because the agreement is only binding if the employee is advised by an independent lawyer. Most settlement agreements place a cap on the contribution to legal fees, and that contribution is only paid if the agreement is signed.

 

Disclaimer: This information is provided for general guidance only and is not intended to constitute legal advice. You must consult our employment solicitors if you require advice on your situation or circumstances.

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