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    MAIN SOURCES

  • Employment Rights Act 1996 s.203 is entitled "Restrictions on contracting out"
  • Equality Act 2010 s.147 is entitled "Meaning of 'qualifying compromise contract'".
  • Employment Rights (Dispute Resolution) Act 1998 s.9 is entitled "Compromise Agreements - advice of non-lawyer".
  • Trade Union and Labour Relations (Consolidation) Act 1992 s.288 is entitled is entitled "Restriction on contracting out"
  • TUPE regulations 2006 (SI 2006/246) reg 18 is entitled "Restriction on contracting out"
  • WT regs 1998, reg 35 is entitled "Restrictions on contracting out"
  • National Minimum Wage Act 1998 s.49 is entitled "Restrictions on contracting out"
  • Part-time workers Regulations 2000 reg 9 is entitled "Restrictions on contracting out"
  • FTER 2002 reg 10 is entitled "Restrictions on contracting out"
    BASIC POSITION

    CAUTION: go to notes on     Equality Act 2010/changes made by the Act for changes to discrimination law in effect from 1st October 2010. The unique emplaw EA 2010 cross-reference tool will locate new statutory references for you.

    Since the concept of compromise agreements was first introduced (August 30th 1993) it has been a basic requirement for such an agreement to be a fully valid settlement of a dispute between an employer and employee, that the employee must have had independent advice (see Employment Rights Act 1996 s.203(3) and from 1st October 2010 the Equality Act 2010, which then replaced previous anti-discrimination legislation - see Equality Act 2010/protected characteristics/a general note .

    Until 1st August 1998 law this had to be "independent legal advice from a qualified lawyer". From 1st August 1998 the advice of a relevant independent adviser (as defined in Employment Rights (Dispute Resolution) Act 1998 sch.1 para 24 (3), amending Employment Rights Act 1996 s.203) has been sufficient.

    In discrimination cases since 1st October 2010 the relevant provision (Equality Act 2010 s.147) is at best ambiguous and at worst is so badly worded that it may be unsafe to rely on a compromise agreement to settle any claims brought under the Equality Act 2010.

    See also Main Topic Compromise agreements/general position and/or Out of court settlements


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    updated January 2011
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