Do I need a solicitor to sign a settlement agreement? Why?

As at November 2025 – UK only. General information, not legal advice. 

Yes. For a settlement agreement to be legally valid, you must receive independent legal advice from a qualified adviser, often a solicitor. Their role is to explain what rights you are giving up, whether the deal is reasonable and to sign a certificate confirming this advice.

What this means for you

 A settlement agreement usually waives your right to bring claims in the employment tribunal, for example unfair dismissal or discrimination. The law says you cannot sign away those rights unless an independent legal adviser has explained the effect of the agreement to you.

Your employer will normally pay a contribution towards your legal fees so you can get that advice.

Who can act as your independent adviser? 

In most cases this will be a solicitor, but the law also allows:

• A barrister. 
• A certified trade union official. 
• An accredited advice centre worker in some circumstances.

They must be properly qualified, insured and acting independently of your employer.

What your adviser actually does 

Your adviser will usually:

• Read the agreement and your background documents. 
• Explain the key terms in plain English. 
• Check whether payments look correct. 
• Discuss the strength and value of any potential claims. 
• Help you decide whether to accept, negotiate or refuse.

If you sign, they then sign a certificate confirming they have advised you on the terms and effect of the agreement.

Why independent advice protects you 

Once signed, settlement agreements are very hard to undo and you must comply with the terms agreed. Independent advice helps make sure you are not giving up valuable rights for too little money, or agreeing to unfair restrictions on your future work or what you can say about your employer.

Example scenario 

Your employer offers you a settlement agreement after a performance process. The company offers £500 plus VAT towards legal fees. You choose your own solicitor, who reviews the document, spots several issues and negotiates a higher payment and reference before you decide to sign.

What to do next 

Do not sign anything before getting independent advice. Ask your employer to confirm their legal fee contribution in writing and choose an adviser you are comfortable with. Use the meeting to ask questions, explore negotiation options and decide whether the agreement is right for you

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At Springhouse Solicitors we offer a range of services, so please contact our friendly customer services team to discuss further via  hello@kilgannonlaw.co.uk or  0800 915 7777.

Disclaimer 

The above provides a general overview of areas in employment law and is not intended nor construed as providing specific legal advice.  This article is for information purposes only and is correct at the time of publication. It does not constitute legal advice.

12.11.25