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Law Society response to consultation on draft code of practice on settlement agreements

9 April 2013

In February Acas published a consultation on a draft code of practice on settlement agreements (the new name for compromise agreements) at the government's request, and to accompany the new legislation being introduced on settlement agreements.

The new legislation will mean that any offers or discussions about settlement agreements cannot be used as evidence in an unfair dismissal claim unless either of the parties has engaged in some improper behaviour.

The Law Society's response:

  • focuses on the need for the Code to go beyond the new provisions on the inadmissibility of settlement agreement offers and discussions in unfair dismissal claims
  • advises Acas to think about how subtle intimidation will be defined, and
  • highlights the risk that parties may mistakenly regard the Code as a substitute for taking advice.

Read the full response below.

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