It can be a daunting task deciding what to do once you've received a settlement agreement, formerly known as a compromise agreement, from your employer. Worrying about who is going to pay your settlement agreement legal fees can bring additional stress.

At Thompsons Solicitors, we can guide you through the settlement agreement process and reassure you that we will make no charge beyond what we recover from your employers.

In this guide, our team of experienced settlement agreement solicitors explain what you need to know about legal fees.




Do I need a solicitor to help me with a settlement agreement?

It is a legal requirement to receive the advice of a qualified lawyer, certified trade union official or advice centre worker before signing a settlement agreement.

We recommend you choose a settlement agreement specialist to help you get the best possible outcome.

At Thompsons, we have a team of settlement agreement solicitors who work exclusively on settlement agreements and have significant expertise in this area of employment law.


Will I be charged for legal advice from a solicitor about my settlement agreement?

The employer is required to offer to pay for you to get independent legal advice when making a settlement agreement, so you shouldn’t be left out of pocket.

Most employers provide a contribution to an employee’s settlement agreement legal fees. The contribution amount varies depending on the employee's seniority and the complexity of the arrangement. A typical employer's contribution is between £350 and £500 + VAT.


How much are settlement agreement solicitor’s fees?

The cost of legal fees for settlement agreements can change from solicitor to solicitor.

Legal fees can also change depending on the service provided in each case. For example, if the situation requires in depth negotiations with an employer, legal fees may increase.

If the legal fees of your employment solicitor exceed your employer's contribution, your settlement agreement solicitors may request an increased contribution from your employer.

In addition to your employer’s contribution, some solicitors may also charge you extra fees, or take deductions from the money paid to you as part of the agreement.

At Thompsons Solicitors, we will not charge you more than your employer’s contribution towards legal costs, and you will receive 100% of your settlement agreement payment.


What do settlement agreement legal fees cover?

Our experienced settlement agreement lawyers will provide you with:

  • A detailed explanation of the settlement agreement's terms and effects
  • Our assessment of the suitability of the proposal and whether there is scope for negotiating a higher settlement
  • Careful consideration of the tax implications and whether the payments are being made in the most tax-efficient way.


Why should I choose Thompsons Solicitors?

Thompsons Solicitors’ nationwide Settlement Agreement Unit (SAU) is made up of employment lawyers who have a wealth of experience and expertise in advising and supporting people to secure the best settlement possible. We pride ourselves on providing a fast and reliable settlement agreements service, finalising those with even the most urgent deadlines.

Upon receipt of your request for legal advice, a specialist settlement agreement lawyer will contact you to discuss how we can help.

Request a free, no-obligation call back about your settlement agreement here: