The short answer
You must receive advice from a relevant independent adviser for a settlement agreement to satisfy the statutory conditions needed to waive employment claims. Most employees use a solicitor, although certain authorised trade-union officials and advice-centre workers can also qualify.
Merely signing a document with your employer is not enough. The agreement must identify the adviser, and the adviser must have appropriate insurance or indemnity cover.
Why is independent advice compulsory?
By signing, an employee may give up valuable rights to bring claims in an Employment Tribunal or court. Parliament therefore requires independent advice on the terms and effect of the agreement and, in particular, its effect on the ability to pursue the identified claims.
The adviser is not there simply to witness a signature. They should ensure that you understand what you will receive, what you must do and which rights you are giving up.
Must the adviser be independent of the employer?
Yes. The adviser must act for the employee or worker, not for both parties. The employer’s lawyer cannot provide the required independent advice to the employee. An adviser should also consider whether any personal or professional conflict prevents them from acting.
What will the solicitor check?
The solicitor will normally review:
- Whether the statutory validity requirements are met;
- The termination date, notice and garden-leave provisions;
- Salary, holiday, bonus, commission and expenses;
- Redundancy and compensation payments;
- The tax treatment stated in the agreement;
- The schedule of claims being waived;
- Confidentiality, warranties and indemnities;
- Restrictive covenants and intellectual-property clauses;
- The reference and internal or external announcement;
- Benefits, pension, shares or options where relevant; and
- Payment deadlines and enforcement provisions.
The precise service depends on the retainer. A basic review of terms and effect is not necessarily the same as investigating the evidence, valuing every possible claim or conducting negotiations.
Will the solicitor say whether the offer is fair?
That depends on the agreed scope and the information available. Assessing an offer may require the employment contract, payslips, relevant correspondence, redundancy calculations, grievance documents and a clear chronology.
The value of a settlement is not determined by salary alone. It may depend on the merits and value of possible claims, losses, mitigation, litigation risk, benefits, reference terms, time and the employee’s priorities.
Who pays the legal fee?
Employers commonly offer a contribution towards independent advice because the agreement cannot achieve the intended statutory waiver without it. However, there is no general rule requiring the employer to pay every legal cost.
The contribution may cover a straightforward review and certificate. If substantial negotiation, tax advice or analysis of complex claims is required, ask at the outset whether the contribution is sufficient and who is responsible for any balance.
What should you send to the solicitor?
Provide the complete agreement and schedules, employment contract, latest payslip, relevant bonus or share documents, the offer letter, redundancy information and any deadline. Explain any grievance, discrimination, whistleblowing, sickness, family-leave or dismissal concern, even if the employer’s draft does not mention it.
Do not leave advice until the final hour. The Acas Code suggests at least 10 calendar days to consider formal written terms as a general rule, unless the parties agree otherwise.
Can advice be given remotely?
Often yes. Many settlement-agreement appointments can be completed by video or telephone with electronic documents and signing, subject to the adviser’s identity, conflict and onboarding requirements. The firm will explain the signing process.
What happens after advice?
You may decide to sign, reject the offer or propose amendments. If terms change materially after advice, the solicitor may need to review the final version before certifying it. Do not sign an incomplete draft or assume tracked changes have been accepted.
Frequently asked questions
Can I use my employer’s HR adviser?
No. HR acts for the employer and is not your independent adviser.
Can any solicitor sign the adviser certificate?
The solicitor must be able to advise competently, be independent and have the required insurance. Employment-law experience is important where claims or negotiations need assessment.
Is a witness also required?
The agreement’s execution block will specify formalities. The statutory requirement is independent advice; a witness does not replace it.
Can I sign before receiving advice?
You should not. The purpose is for advice to inform the decision before the agreement becomes binding.
Speak to The Legal Practice Solicitors
Our Employment Law team can explain a settlement agreement, check the payment and waiver provisions and advise on proposed amendments or negotiation where appropriate. We also advise employers on drafting, process and risk.
Telephone: 0208 903 7017
Email: employmentlaw@thelegalpractice.co.uk
Office: 122-126 Wembley Park Drive, Wembley Park, London HA9 8HP
Disclaimer
This article is provided for general information only and does not constitute legal or tax advice or create a solicitor-client relationship. Employment law and taxation is fact-specific and may change. Obtain advice on the individual facts before acting. The law referred to is the law of England and Wales and is stated as at 26 August 2026.
