On this page we are pleased to share with you some case studies of settlement agreements we have worked on.
March 2021 – Wiltshire – maternity leave redundancy
This client was referred to Sarah by a colleague as she was being made redundant whilst on maternity leave. The employer was one that Sarah had already been the agreement and enhanced terms for but she was able to secure some additional benefits such as ensuring that the taxed sums were paid in the new tax year after April 2021. She was able to secure a reduction in the period of the restrictive covenants reduced by not only garden leave but maternity leave so that these were not in force at the end of the maternity leave period. In addition, the circumstances meant that Sarah was able to negotiate a 50% increase in the settlement sum on offer and despite their being shares and other benefits, there was no contribution to legal fees charged to the client.
Jan 2021 – Tunbridge Wells – enhanced redundancy
Sarah was instructed by the client who had decided that following the statutory trial in a redundancy situation the role was not for her. She has sought advice before accepting the trial and was able to secure the enhanced package originally offered as a result. Once the agreement was presented (despite the settlement sums being uniformly negotiated) Sarah was still able to add a lot of benefit to the settlement agreement. She was able to secure additional holiday pay and not take the leave before termination. She was able to secure funding for a training course and retain her mobile phone. There was no charge to the client personally for the enhanced deal and securing this as the legal fees were met by the employer.
Jan 2021 – Northampton – repeat client
This client returned to Sarah for the third time when he was made redundant from his senior executive role on this occasion with a settlement agreement. The agreement only required minor amendments and due to taking telephone advice from Sarah initially he was able to negotiate direct and get the package he was looking for given his seniority. There was no contribution to legal fees from the client direct in this matter.
December 2020 – complex benefits packages
Assisted a number of senior employees with their settlement agreements including share benefits packages and negotiations in a restructuring exercise.
Acted for a number of employees from the Auction House negotiating their exits including complex benefits packages with share options and commission. Additionally for this employee managed to secure her settlement agreement despite the trial for the new role she was offered and she exited later than her colleagues.
October 2020 – Hertfordshire – 50% increase in package
Advised a number of senior directors in their exits from a large household retail group including their settlement packages with complex benefits including share options.
Client highlighted was first of the group and commercial director for mobile for the retail group. Package in monetary terms alone was over £500,000 in addition to share scheme and other payments. He referred more junior members of the team to Sarah too and for one Sarah was able to secure a 50% increase in the termination payment in addition to his notice pay.
January 2020 – double the ex gratia sum on offer
Just before Christmas Mr L received a settlement agreement at his request to end his employment for ill health reasons. He was given a contribution of £500 plus VAT towards legal fees and was quite happy with the sums on offer of one month’s notice and two months ex gratia payment since he was choosing to leave. In addition, his termination date was in the past and his holiday equated to nearly another month’s salary.
We advised him that we did not consider the settlement agreement to be high enough and agreed to negotiate on his behalf to settle the claims we advised he could have. As a result of those
negotiations we were able to double the ex gratia sum on offer and increase the termination date by two weeks to give him more money and secure more holiday for him.
The client was very happy as had he not sought our advice then he would have taken the offer made to him.
The client paid a small contribution to legal fees of less than 1% of the increase he received and was very pleased to have found us.
Nov 19 – Surrey- male employee accused of sexual harassment
Advised male employee accused of sexual harassment to successfully defend those claims and agree an exit from the Company after the Company assumed the male client was the one doing the harassment despite evidence to the contrary.
The client was accused of sexual harassment when he had evidence that the female employee had sent him pictures of herself in the bath. Following a flawed investigation and leak of the confidential information he resigned. A settlement was reached for the remainder of the notice and 30 weeks pay tax free on top with release of his restrictions.
July 2019 – health issues redundancy
Mrs R was referred to Sarah as she had acted for her colleague at the same employer with favourable results. After many years loyal service and after some health issues Mrs R was presented with a settlement agreement and told she was to be made redundant.
Sarah negotiated on Mrs R’s behalf directly with her employer. Whilst we originally made a number of requests for additional perks to be added to the settlement agreement such as outplacement which were not granted we did get an increase of 28% to the settlement sum taking her over the tax free limit for settlement agreements.
Mrs R was very thankful for the assistance given.
June 2019 – reduce periods of restrictive covenants
Mr B was a senior executive again referred to Sarah by his ex-colleague who has left the same employer with favourable results. Mr B came to Sarah with a draft settlement agreement and having
already negotiated an exit package direct with his boss given his level and access to senior management within the business.
We made some wording changes to the settlement agreement including agreeing to reduce the periods of his restrictive covenants and to limit their effect.
Whilst there was no increase in the financial package it meant he could move on freer than he was and in this case there was no personal contribution from the client and the employer covered the legal fees.
May 2019 – strategic advice to secure a settlement agreement
Mr H had been a previous client of Sarah’s so he did not come to her with a settlement agreement but for advice on how best to handle his exit and a review of his new terms and conditions of employment for a role he had secured.
Sarah gave advice on a strategic exit which resulted in a settlement agreement being offered by his existing employer.
He was paid his notice mostly as a payment in lieu meaning he was able to start sooner and also received a lump sum all without putting his new role at risk. Mr H managed by getting some strategic advice to secure a settlement agreement in circumstances where he would not otherwise have done so and transition between roles with a lump sum behind him.