We quite often see enquiries of this type coming into didlaw. You would expect it given our specialism in disability discrimination and workplace issues. There are a number of ways to deal with this.
If you have a personal injury which is distinct from the reason you are leaving your job under a settlement agreement you must mention this to the lawyer who is advising on the settlement agreement. Remember that a settlement agreement is not legally valid unless it is also countersigned by an independent adviser.
It is a standard term in settlement agreements that they compromise (i.e. kill off) all claims and if you do not ‘carve out’ your ongoing PI claim this will be captured and you will not be able to pursue it.
An example of this might be that you have worked in an environment which has caused hearing loss and you have already been advised that you may bring a claim against the company. By signing a settlement agreement to end your employment (even if a simple redundancy) you would lose the right to bring this claim if you did not ensure the agreement expressly provides that you can continue it.
Another standard clause in settlement agreements and one which is required by law is that any settlement agreement cannot stop you from claiming for an injury which you are not yet aware of. A good example of this might be that you have been exposed in the office to asbestos and years down the line contract asbestosis, malignant mesothelioma or similar. You can bring this claim provided you did not know at the time of signing that you had the illness or the claim. This deals quite nicely with something you don’t know about and means you do not have to think ahead.
Commonly employers will want to prevent you from bringing a stress personal injury claim (stress PI) after signing a settlement agreement and if this is the circumstance you find yourself in you should take advice from a personal injury (PI) lawyer before agreeing to waive your rights. Stress PI claims can take a long time to bring and will depend heavily on medical evidence. Specific circumstances apply and not everyone who is temporarily unwell, however seriously, will have a valid PI claim. If you think this does apply to you then you must raise it before signing any agreement. We get a lot of enquiries from clients who were not aware of what they were agreeing to give up and who want to undo the settlement agreement. This is incredibly difficult legally so the best advice is to deal with any queries you have before you sign.
If you go to an employment generalist for your settlement agreement service they may not flag these issues which are important and could be valuable to you, for example if you become unable to work due to severe ill health. No one can predict the future but you need to realise that when you sign a settlement agreement you are signing a legally binding contract. Don’t get dazzled by the package. Read the terms carefully and ask your lawyer to explain anything that you do not understand.
