Make a clear, protected settlement offer – covering letter, heads of terms, agreed reference and a checklist – ready for your solicitor to turn into the agreement.
People & HR
Settlement Agreement Covering Letter and Heads of Terms
About this document
The documents you need to put a settlement proposal to an employee: guidance on protected conversations, a meeting note, a “without prejudice” covering letter, detailed heads of terms, an agreed reference and announcement, and a pre-signing checklist. It is not a settlement agreement itself – the binding agreement should be drafted by a solicitor using the agreed heads of terms.
The document is laid out in the sections below. Each one comes with a plain-English guidance note explaining what it does and what to change.
Our templates are professionally structured starting points for UK businesses, not legal advice. For anything complex, unusual or high-value, have your final version checked by a solicitor.
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People & HR
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Editable Microsoft Word files
Guidance notes in every document
Written for UK businesses
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