Verstia

Settlement agreements: why this isn't a fill-and-download document

Independent legal advice is a legal requirement, not a formality

Under section 203 of the Employment Rights Act 1996, a settlement agreement is only valid — and only waives an employee's statutory employment rights (such as unfair dismissal or discrimination claims) — if specific conditions are met. One of those conditions is that the employee has received advice from a relevant independent adviser (typically a solicitor, or a certified and authorised trade union official or advice centre worker) on the terms and effect of the agreement, and that adviser is identified in the agreement itself.

This is not a box-ticking formality: a settlement agreement signed without that independent advice is not legally binding, and the employee keeps their underlying statutory rights regardless of what the document says. Verstia's core model — a static, verified template you fill in and download yourself — cannot satisfy this requirement, because the requirement is specifically that a qualified adviser, not the employee alone, reviews the specific terms.

For that reason, Verstia does not offer a settlement agreement template as a self-serve fill-and-download document, for this pack or any other. This is a deliberate scope boundary, not a missing feature.

Where to go instead

Acas publishes guidance on settlement agreements, including what they typically cover and how the process works: acas.org.uk/settlement-agreements. A solicitor, a trade union, or a Citizens Advice office can help find a qualified independent adviser.

Back to the process pack

This information is for informational purposes only and does not constitute legal advice. For advice on a specific situation, consult a qualified adviser or Acas (acas.org.uk).