A transaction contract – also known as a compromise agreement – is a contract between you and your employer, which is used to resolve labour law disputes. We regularly advise a number of clients, from public and private sector employees to directors, shareholders and professional athletes. In certain circumstances, we are ordered not only to advise on the terms themselves, but also to negotiate higher settlement amounts. They can be offered in different situations, either during or after employment. They can sometimes be used to avoid a lengthy process of performance, discipline or dismissal, which can be costly and tedious for an employer. An employer may also consider offering a transaction contract in the event of a dispute with a worker to end this dispute. Situations that result in a transaction agreement may include a redundancy scenario or notification that an employee is included in a performance improvement plan or even after a complaint has been filed at work. In such situations, an employee who feels offended may object. B to the selection of redundancy in a redundancy scenario. You should give the employee between 14 and 21 days to sign and return the billing contract. This will give them enough time to obtain independent legal advice, as required by law, for the agreement to be valid. ACAS recommends at least ten days.
Our service includes advice in the event of a breach of transaction agreements and your ability to enforce the conditions or ask an employment tribunal to reintroduce your original right. You may have another job where you can go when your compromise agreement is signed, but you may be asked to guarantee that no new jobs have been offered to you or that they have even entered into discussions that result in a new job. You must inform your lawyer if this applies to you, as there is a way to amend this clause or else you could be violated. The law requires that you receive legal advice before signing a transaction agreement. Our specialized team is able to give this advice face to face or by phone at will. Please contact us to make an appointment if you have been offered a transaction agreement. A worker can apply for an employment contract if he has rights against an employer under his employment contract and/or under the law. These rights may arise when hiring; During employment or if their employment relationship is terminated.