- What are settlement agreements?
- How should you receive a settlement offer?
- Payment arrangements
- The formal written agreement
- Settlement agreements and collective redundancies
- Annex: Model settlement agreement
What are settlement agreements?
At QMUL settlement agreements, formerly known as compromise agreements, are documents which set out the terms and conditions agreed by you and QMUL (the two parties) when you agree to settle a potential employment tribunal claim or claims or other court proceedings. They are normally (but not always) used to bring an employment relationship to an end in a mutually agreed way. In the case of a voluntary redundancy, the employee is agreeing to receive a sum of money for leaving the organisation and in return is relinquishing any legal claim against their employer for any claim against unfair/wrongful dismissal or breach of contract. They can only be signed by individuals not groups. The following advice is an amended version of the ACAS Guide to Settlement Agreements
Key features of settlement agreements
- They are legally binding
- They can waive an individual’s rights to bring a claim covered by the agreement – for example, the right to make a claim to an employment tribunal or court
- You (the employee) will usually receives some form of financial payment and will also often receive a reference as part of the agreed terms
- They are entirely voluntary – they include terms and conditions that are mutually agreed, and parties do not have to enter into them if they do not wish to do so
- You do not have to accept the terms initially offered – there can be a process of negotiation during which both sides make offers and counter offers
- Negotiations about settlement agreements are often confidential in the sense that, if an agreement is not reached, the negotiations may not be admissible as evidence in claims before an employment tribunal or in other court proceedings.
How should you receive a settlement offer?
Employers should propose a settlement in writing. Putting an offer in writing can help prevent misunderstandings.
A written offer would usually outline the proposed terms of an agreement – for example, what the proposed compensation might be. Any final agreement must be put in writing.
However the offer is made, it should clearly state the reason for the offer – in the current case, voluntary redundancy.
What should be covered in a settlement offer?
What the offer consists of will be for each employer to determine in the light of the particular circumstances, but offers often include a proposed financial payment to the employee and often also a reference.
In some cases a full and comprehensive reference can be agreed. In other cases a short statement confirming that the individual was employed, the dates of the employment and the employee’s job title may be preferred.
The time you need
As a general rule, a minimum period of 10 calendar days should be allowed to consider the proposed formal written terms of a settlement agreement and to receive independent advice, unless the parties agree otherwise. The period of ten calendar days is a specific requirement of the Acas Code of Practice on Settlement Agreements (under section 111A of the Employment Rights Act 1996) (see paragraphs 12 and 18 of the Code),
In some circumstances, not allowing a reasonable time might mean that the settlement discussions can be referred to as evidence in a subsequent unfair dismissal claim before an employment tribunal.
The process that works best
QMUL should be clear about the reasons for making the offer and be prepared to answer likely questions that may follow in discussion.
Any meeting you have with HR, or your line manager is a good opportunity to clarify exactly what is being offered and to discuss any questions. A meeting also provides you with an opportunity to make a counter offer if you so wish.
QMUL should inform you that any discussions about the proposed settlement agreement are expected to be inadmissible in relevant legal proceedings. It should also be made clear that the discussions at the meeting, and any later discussions about settlement which may follow, will have no bearing on any disciplinary or performance management procedure in the event that you change your mind about accepting VSS.
The discussion process is voluntary and either party is free to decide that they do not wish to enter into discussions, or that they no longer wish to continue the process at any time. Parties are also free to turn down an offer of a settlement agreement.
The people involved
A settlement agreement is made between two parties, the employer and the employee, but the employee may want to involve someone else in the discussions. Whilst not a legal requirement, you can be accompanied at the meeting by a work colleague, UCU official or representative.
If you decide to bring a companion who is a work colleague they should be given paid time-off to attend the meeting.
Payment arrangements
Details of payment arrangements and their timing should be included in the agreement. It is good practice to agree that any payments should be made as soon as practicable after the agreement has been reached.
Payments agreed under a settlement agreement may be made up of various elements. For example, a payment for outstanding holiday entitlement at the end of the employment. These elements may be treated differently for income tax and National Insurance (NI) purposes.
In general, any element of an agreed payment that corresponds to the pay and benefits that the employee usually receives, or would have received, in the course of their employment will be subject to the normal rules on income tax and NI. This includes any element corresponding to wages/salary, bonus, commission, holiday pay, and so on.
Any element of a settlement payment agreed as a compensation payment can usually be made free from income tax and National Insurance (NI) up to a certain threshold, currently £30,000.
A statutory redundancy payment will not be subject to income tax and NI, but a contractually enhanced redundancy payment might be.
It is therefore advisable for a settlement agreement to:
- clearly specify any constituent elements that make up the overall settlement payment
- state whether any particular element is to be paid either with or without deductions for tax and NI
- and, if deductions are to be made, wherever possible state the actual sums that are to be paid and to be deducted.
Parties should bear in mind that taking voluntary redundancy can affect your entitlement to Jobseekers Allowance, Universal Credit and payments under some insurance policies. Parties in any doubt should seek advice, for example from Jobcentre Plus or their insurance policy provider.
The formal written agreement
Following any discussions and negotiations, the settlement agreement is the formal written agreement.
Each settlement agreement will, of necessity, reflect the particular circumstances of its individual case.
Legal requirements involved in drawing up a settlement agreement
For a settlement agreement that waives an individual’s right to bring legal proceedings to be valid, certain legal conditions must be met. Generally QMUL covers the cost of legal advice up to the value of £350 plus VAT. UCU are not able to recommend which legal advice but in the past members have opted to use Leigh-Day, Didlaw and Thompsons among others. You should not need to be a UCU member or have a referral from UCU where the fees are being paid by QMUL.
For a settlement agreement to be valid in waiving an individual’s right to bring a complaint or complaints before an employment tribunal or other court, all of the following conditions must be met:
A. The agreement must be in writing
B. The agreement must relate to a particular complaint or proceedings
C. The employee must have received advice from a relevant independent adviser on the terms and effect of the proposed agreement and its effect on the employee’s ability to pursue that complaint or proceedings before an employment tribunal or other court
D. The independent adviser must have a current contract of insurance or professional indemnity insurance covering the risk of a claim by the employee in respect of loss arising from that advice
E. The agreement must identify the adviser
F. The agreement must state that the statutory provisions which set out the above conditions regulating the validity of the settlement agreement have been satisfied.
Confidentiality clauses in settlement agreements
Settlement agreements often contain clauses relating to confidentiality whereby the parties agree to keep the agreement itself confidential and not disclose its details to third parties (usually with limited exceptions such as close family members and professional advisers, or an exception that makes it clear that the parties can disclose details where they are required to do so by law).
Settlement agreements will also sometimes specify that an employee will continue to be bound by confidentiality clauses that are already included in the terms and conditions of their employment contract, unless the parties agree otherwise.
All such confidentiality clauses are voluntary and are a matter for the parties to agree during the course of the settlement discussions. Confidentiality clauses should not be included in settlement agreements as a matter of course.
In addition confidentiality clauses cannot and should not seek to prevent an individual from being able to make a protected disclosure of matters of public interest under ‘whistleblowing’ legislation (the Public Interest Disclosure Act 1998 (PIDA)). Any provision which attempts to do so will be legally unenforceable.
If a confidentiality clause is to be used, it should include wording to make it clear that the individual’s right to make a protected disclosure of matters in the public interest is not affected. The wording should not seek to discourage the individual from raising concerns, for example about wrongdoing, poor practice or unlawful conduct in the employer’s organisation.
Settlement agreements and collective redundancies
Under the VSS scheme QMUL are proposing to make over 60 employees redundant on July 31st. Because this is over 20 employees and it is over a period of 90 days or less, they are obliged to consult collectively with employees.
The position of the QMUL UCU branch is that this consultation has not yet taken place.
The settlement agreement is not legally final until it has been signed by both parties and you can choose to withdraw at any point before this without detriment.
If QMUL fail to honour the agreement, then you can file a claim for breach of contract and damages in the County Court.
Annex: Model settlement agreement
ACAS provide the following model settlement agreement. It provides a suggestion of the kind of text which can be used and is designed to be as simple as possible. It will need tailoring to suit the needs of a particular situation between any two parties. Check your settlement agreement against this model agreement to ensure nothing is missing.
Cover page
The agreement states that it is ‘subject to contract’. This means that, in respect of agreements in England and Wales, the draft agreement will not be binding on either party until it is signed.
If the ‘without prejudice’ rule applies, it is also advisable to state on the cover page that the agreement is ‘without prejudice’. Where the rule does apply, this means that the draft agreement cannot be used in evidence in subsequent court or tribunal proceedings (except in limited circumstances). Whether the rule applies or not will depend on whether there is an ‘existing dispute’ between you and the employee which you are trying to settle.
Where a settlement agreement is being discussed with a view to ending the employment in a situation as a result of a voluntary redundancy (ie no dispute), ACAS advise employers to state on the cover page that the agreement is ‘covered by section 111A of the Employment Rights Act 1996’. This means that the draft agreement cannot be used as evidence in a subsequent unfair dismissal hearing (except in limited circumstances).
You should insert the names of the parties. Once agreement has been reached on the terms of the settlement agreement, you should insert the date that the agreement is signed by the parties. If the agreement is signed by each party on different dates then you should insert the later of the signing dates.
The names of the parties and the date of the agreement should also be inserted at the top of the first page of the agreement (before Clause 1).
Clause 1: Background
This clause sets out briefly that the parties are entering into a settlement agreement and that in doing so the employer does not admit any liability.
You should enter the employee’s job title and employment start date in Clause 1.1.
Clause 2: Definitions
This clause sets out the definitions of the terms used in the agreement. If appropriate, you could add other terms to this list.
Clause 3: Termination Date and Notice
Clause 3.1 Where the employer and employee are agreeing to end the employment, they will need to agree the date when employment will end (the ‘termination date’). This agreed date should be inserted here.
Clause 3.2 You should set out here the wages/salary and any bonus/commission or similar payments that the employee is entitled to receive during or at the end of the notice period. These payments will normally be determined by the contract of employment and will be subject to the normal rules on taxation of employment income.
Any holiday entitlement that the employee will have accrued but not taken at the agreed termination date should be calculated and the number of these outstanding days inserted in the agreement. (You have a right to payment of any statutory holiday entitlement that has accrued during the employment but has not been taken at the date of termination. Entitlement to pay for any contractual holidays over and above the statutory minimum entitlement will depend on the terms of your employment contract.)
It should be noted that these wages/salary, bonus/commission and holiday payments are the normal payments due at the end of the employment contract. They do not constitute part of the agreed ‘Settlement Payment’ (on which see Clause 5 below).
Payment in lieu of notice: Alternatively, the contract of employment may allow the employer to make a payment in lieu of notice (PILON) or, if the employment contract does not allow this, the parties may agree that the employee will be paid in lieu of notice. This means that the employee does not work the notice period and the employer makes a payment to the employee to reflect what they would have received during the notice period, including wages/salary, bonus/commission and accrued but untaken holidays. Where it is agreed that a PILON is to be made (whether or not the employment contract allows for this) then details of each element making up the PILON should be given in Clause 3.2.
From 6 April 2018, payments in lieu of notice (PILON) are subject to tax, whether or not the PILON is contractual or non-contractual. Under HMRC guidelines, employers are also required to calculate the amount of taxable ‘post-employment notice pay’ (PENP) using a statutory formula. For more information, go to go to the HMRC guidance www.gov.uk/hmrc-internalmanuals/employment-income-manual/eim13874.
‘Garden leave’: In some situations, the parties can agree that the employee will not work during the notice period and instead be on ‘garden leave’. You should check the contract of employment to see whether the employee can be required or can be asked to stay on ‘garden leave’. If the contract does not allow this, you will need to ask the employee to agree to such an arrangement.
The payments due to the employee during ‘garden leave’ will normally be determined by the contract of employment, or can be agreed between the parties. However, if the employee is to go on a significant period of ‘garden leave’ (for example several months) then there are some important legal issues to consider and it is usually prudent to obtain specific legal advice about this.
Clause 4: Withdrawal of Proceedings and Waiver
In reaching a settlement agreement you are agreeing to settle particular claims, ie you agree not to pursue specified claims which they have already presented, or which they may potentially present, to an employment tribunal or court. Clause 4 sets out that it is acknowledged and accepted that the agreement is made in full and final settlement of those specified claims. It also sets out that you agree to withdraw any claims if they have already been brought.
To be legally valid in waiving your right to bring a complaint or complaints before an employment tribunal or other court, a settlement agreement has to specifically state the claims that it is intended to cover. These can be actual claims that have already been brought, or potential claims not yet brought but which can be reasonably anticipated at the time the agreement is reached. However, simply saying that the agreement is in ‘full and final settlement of all claims’ will not be sufficient to waive your right to bring or continue employment tribunal or court claims.
The settlement agreement must therefore properly specify the particular claims which the parties are agreeing to settle.
Clause 5: Settlement Payment
Clause 5.1 This clause sets out the amount of money the employer agrees to pay to settle the claims that the employee has agreed not to take to, or to pursue further at, an employment tribunal or court. This sum is referred to as ‘the Settlement Payment’. (This is distinct from the normal wages/salary, bonus/commission, holiday or other notice payments due on the termination of employment, as specified under Clause 3).
Clause 5.2 sets out the tax liabilities that the parties expect to attach to the Settlement Payment. In certain circumstances, Settlement Payments of up to £30,000 (or the first £30,000 of larger Settlement Payments) may be paid free of tax and NI. However, the taxation of settlement payments can be complex, and parties in any doubt should consult a tax adviser or HMRC.
For more information, go to the HMRC’s guidance at www.hmrc.gov.uk/manuals/eimanual/eim12800.htm (tax) and www.hmrc.gov.uk/manuals/nimmanual/nim02510.htm (NI).
When the reason for the ending of employment is redundancy it is advised to state the amount which is paid as redundancy payment in Clause 5.2, as statutory redundancy payments will not be subject to income tax and National Insurance, but a contractually enhanced redundancy payment might be.
Clause 5.3 If the Settlement Payment, or a portion of it, is paid without deducting tax and/or National Insurance contributions, it is common for one of the parties to agree to pay any tax and/or National Insurance contributions which may later become payable in respect of the Payment.
Clause 5.4 If it is agreed that a reference will be provided as part of the settlement this should be mentioned in Clause 5. A copy of the reference could be included as an annex to the settlement agreement. The reference could be a simple statement of the employee’s dates of employment and position held, or a more detailed description of their duties, role, performance, etc.
Clause 6: Conditions Regulating Settlement Agreements
There are a number of legal conditions that must be met in order for a settlement agreement to be valid in waiving an individual’s right to bring a complaint or complaints before an employment tribunal or other court. A valid settlement agreement must also state that these conditions have been satisfied.
Clause 6 means that the parties are agreeing that these legal conditions have been satisfied.
Clause 7: Employer’s Property and Employee’s Property
Clause 7.1 In some cases the employee will be in possession of property or information which is owned by the company (for example, a laptop, mobile phone, confidential records, etc.). Where that is the case, it is usually prudent to include this clause which specifies that, and when, the property will be returned or information deleted. A list of the property that needs to be returned or the information which needs to be deleted can be included if necessary.
Clause 7.2 Covers any property that the employer is agreeing to return to the employee.
Clause 8: Confidentiality
Clause 8.1 relates to situations where the parties agree that confidentiality clauses and/or restrictive covenants already included in their employment contract should remain binding after the end of the employment relationship. It is important to specify any such terms of the employment contract that the parties intend to remain binding, in order to ensure that these are incorporated as part of the terms of the settlement agreement.
In some situations, where there is no contractual right to make a payment in lieu of notice but the employee agrees to accept one, there are specific issues to consider if the parties also wish to agree that the employee will remain bound by confidentiality clauses or restrictive covenants in the employment contract. It would be advisable to obtain separate legal advice in this situation.
Where no such provisions are contained in the employment contract then Clause 8.1 should be deleted.
Clause 8.2 relates to situations where the parties agree to keep the settlement agreement itself confidential (except for limited exceptions). Where this is not a part of the agreed terms in a particular situation then this clause should be deleted.
All such confidentiality clauses are voluntary and are a matter for the parties to agree during the course of the settlement discussions. Confidentiality clauses should only be used when necessary and should not be included in settlement agreements as a matter of course. If a confidentiality clause is to be used, it should include wording to make it clear that the individual’s statutory right to make a protected disclosure of matters in the public interest (‘whistleblowing’) is not affected. The wording should not seek to discourage the individual from raising concerns, for example about wrongdoing, poor practice or unlawful conduct at QMUL.
Sometimes you might want to agree that you will not make derogatory comments about each other after the settlement agreement has been concluded. Such a clause is not included in the model agreement but could be inserted here.
Clause 9: Employee’s Representations and Warranties
Clause 9.1 sets out an undertaking by you about their conduct during the employment relationship.
Clause 9.2 means that, if it turns out that you were not truthful in relation to the undertaking in Clause 9.1, then QMUL may be able to withhold or recover the Settlement Payment and/or potentially sue you for any relevant losses or damages.
Clause 10: Employee’s Advice and Costs
Clause 10.1 It is a legal requirement that the agreement records that the employee has received advice from a relevant independent adviser.
An independent adviser can be a qualified lawyer, or a certified and authorised officer, official, employee or member of an independent trade union or a certified and authorised advice centre worker. The adviser must not be employed by, acting for, or connected with the employer.
Clause 10.2 QMUL offer to pay for this advice in the interests of ensuring that you get the necessary advice. This clause sets out how much an employer is willing to contribute which currently stands at £350 plus VAT.
For information on the taxation of payments made to meet such costs, go to www.hmrc.gov.uk/manuals/eimanual/eim13740.htm
Clause 11: Entire Agreement and Enforceability
Clause 11.1 In many cases the parties will want the settlement agreement to supersede any previous agreement, such as the terms of the employment contract. If this is the intention of both parties then Clause 11.1 should be included to make this clear. Clause 8.1 can be used to specify any relevant provisions in the employment contract, such as confidentiality clauses or other restrictive covenants, which the parties do intend to continue to apply.
Clause 11.2 provides clarification that the agreement may only be varied by the agreement of both parties.
Clause 11.3 explains the enforceability of the terms of the agreement.
Clause 12: Jurisdiction
This clause sets out the jurisdiction under which the agreement is made and optional wording is provided for agreements that will be covered by the law of England and Wales. The wording that is not relevant to a particular settlement agreement should be deleted.
Clause 13: Parties to the Settlement Agreement
This clause makes it clear that only the QMUL and you will have any rights under the settlement agreement.
The wording required here is different depending on whether the agreement is being made under the jurisdiction of the law of England and Wales, or of Scots law. The wording that is not relevant to a particular settlement agreement should be deleted.
The final sentence in the model agreement makes it clear that the parties are agreeing that, once the agreement has been signed and dated, it will become a legally binding document.
Signing
QMUL has to ensure that the document is signed by an authorised signatory.
MODEL SETTLEMENT AGREEMENT
Dated [enter date DD/MM/YYYY]
SETTLEMENT AGREEMENT
(Subject to Contract)
[Insert name of Employer]
-And-
[Insert name of Employee]
| THIS SETTLEMENT AGREEMENT (the ‘Agreement’) is dated [enter date DD/MM/YYYY].This Agreement is made between [insert Employer name] (‘the Employer’) and [insert Employee name] (‘the Employee’).1: Background1.1. The Employee has been employed by the employer as [enter job title] since [enter start date].1.2. The Employer and Employee have agreed to settle the Particular Claims on the terms set out in this Agreement.1.3. The Employer enters into this Agreement without any admission of liability.2: Definitions and Interpretations2.1. In this agreement:‘Claims’ means any claim, claims or causes of action that the Employee has or may have against the Employer.‘Particular Claims’ are those Claims which the Employee and Employer intend to be settled by this Agreement, arising out of the Employee’s employment or the termination of employment, as set out in Annex A [if the Agreement is being used in Scotland the following additional words should be inserted at the end of this clause: ‘as set out in Annex A which is hereby incorporated into this agreement’]. ‘Termination Date’ means the date on which the employment has ended or will end, as set out in Clause 3.1.2.2. References to the singular in this Agreement shall include references to the plural and vice versa and words in the masculine include the feminine and vice versa.2.3. The headings in this Agreement are for ease of reference and shall not affect interpretation.3: Termination Date and Notice3.1. The Employee’s employment with the Employer will terminate on[enter date DD/MM/YYYY] (‘the Termination Date’). The Employer and Employee will continue to be bound by the terms and conditions of employment until the Termination Date.3.2. [Provided that the Employee continues to comply with the terms and conditions of their employment, the Employer will pay the Employee’s |
| usual wages/salary [and bonus/commission] (less tax and National Insurance contributions) up to and including the Termination Date. [Along with the final wages/salary/bonus/commission payment, the Employer will also pay a sum in respect of [insert number] days accrued but untaken holidays (less tax and National Insurance contributions).]][OR][The Employer will pay the Employee [insert number] weeks’ pay in lieu of notice (PILON) which will be paid less tax and National Insurance contributions. This PILON comprises [insert details of amounts corresponding to wages/salary, bonus/commission, accrued but untaken holidays, and so on.] The amount of post-employment notice pay (PENP) for HMRC purposes is [insert amount].]3.3 Except as set out in this Agreement, the employee will have no right to any benefits under the terms and conditions of employment after the termination date.4: Withdrawal of Proceedings and Waiver4.1. The Employee accepts that this Agreement is in full and final settlement of all of the Particular Claims set out in Annex A.4.2. The Employee agrees immediately upon signature of this Agreement to write to the relevant employment tribunal(s) or court(s) to withdraw any proceedings that have already been presented but which have been settled by this Agreement, and not to present to an employment tribunal or any other court any Claim which is a Particular Claim.4.3. The Employer and Employee acknowledge that it is their intention that this Agreement is in full and final settlement of all of the Particular Claims.5: Settlement Payment5.1. Subject to the Employee complying with the terms of thisAgreement, the Employer will pay the Employee [£insert figure] (‘the Settlement Payment’). The Settlement Payment will be paid within 14 days of receipt by the Employer of a signed copy of this Agreement and the signed certificate from the Employee’s adviser which is set out at Annex C [if the Agreement is being used in Scotland the following additional words should be inserted at the end of this clause: ‘Annex C, which is hereby incorporated into this Agreement’].5.2. The Employer and Employee believe that [the first £30,000 of] the Settlement Payment is not subject to tax or National Insurance. |
| 5.3. The [Employee/Employer] agrees to indemnify the [Employer/ Employee] for any further tax and/or Employee’s National Insurance contributions due in respect of the Settlement Payment.5.4. [The Employer agrees to provide the Employee with a reference in the terms agreed in the attached Annex [identify the Annex], and when responding to a written or verbal request for a reference from a prospective employer, will do so in a manner which is consistent with the agreed reference.]6: Conditions Regulating Settlement AgreementsThe Employer and the Employee agree and acknowledge that the conditions regulating settlement agreements which are contained in the legislative provisions listed in Annex B [if the Agreement is being used in Scotland the following additional words should be inserted here: ‘which is hereby incorporated into this Agreement’] have been satisfied.[7: Employer’s Property and Employee’s Property7.1. The Employee warrants that [he/she] [has returned] [OR will return by the Termination Date] [OR will return by (insert agreed date)] all property belonging to the Employer, including all records, correspondence, documents and any other information and that the Employee has not retained any copies.7.2. The Employer warrants that it [has returned] [OR will return by the Termination Date] [OR will return by (insert agreed date)] all property belonging to the Employee.]8: Confidentiality8.1. [The Employee agrees that [he/she] will continue to be bound by the terms and conditions of employment which relate to confidentiality and restrictive covenants: see clause[s] [insert number(s)] of those terms and conditions. For the avoidance of doubt, those terms do not affect the Employee’s right to make, nor otherwise prevents the Employee from making, a public interest disclosure under the Public Interest Disclosure Act 1998 (PIDA).]8.2. [The Employer and Employee agree that they will keep the existence and terms of this Agreement confidential (with the exception of disclosure to immediate family or relevant professional advisers, provided that those persons agree to keep the information confidential, or where disclosure is required by law). For the avoidance of doubt, this clause does not affect the Employee’s right to make, nor otherwise prevents the Employee from making, a public interest disclosure under the Public Interest Disclosure Act 1998 (PIDA).] |
| 9: Employee’s Representations and Warranties9.1. The Employee represents and warrants that there are no circumstances of which [he/she] is aware or ought reasonably to be aware which would amount to a material breach of the terms and conditions of employment which would justify summary dismissal.9.2. The Employee acknowledges that the Employer has acted in reliance on these representations and warranties in entering into this Agreement.10: Employee’s Advice and Costs10.1. The Employee confirms that [he/she] has received advice from an independent adviser (‘the Adviser’) as to the terms and effect of this Agreement, including its effect on the Employee’s ability to present any Claim before an employment tribunal or other court.10.2. The Employer will pay the Employee’s reasonable costs incurred in connection with the preparation of this Agreement up to a maximum of[£insert figure] plus VAT. Such fees will be payable directly to theAdviser on receipt from the Adviser of an invoice addressed to the Employee and marked payable by the Employer. The Employer agrees to pay these costs within 30 days of receipt of the invoice.11: Entire Agreement and Enforceability11.1. This Agreement sets out the entire agreement between the parties and supersedes all prior statements, representations, terms and conditions, warranties and guarantees whenever given and whether orally or in writing.11.2. No variation of this Agreement shall be effective unless it is agreed by both parties and in writing.11.3. If any term of the Agreement is held to be illegal, invalid or unenforceable, in whole or in part, such part shall be deemed not to form part of the Agreement but the legality, validity or enforceability of the remainder of the Agreement shall not be affected.12: Jurisdiction[This Agreement shall be governed by and construed in accordance with the law of England and Wales and the parties agree to submit to the exclusive jurisdiction of the courts in England and Wales in relation to any Particular Claim or any matter connected with this Agreement.] |
13: Third Parties
[The Contracts (Rights of Third Parties) Act 1999 shall not apply to this Agreement and only the Employer and Employee shall have rights under it.]
………………………………………………….
Signed by Date on behalf of the Employer
…………………………………………………
Signed by the Employee Date
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