Who pays the solicitor fee for a settlement agreement?

In almost every case: your employer. Here's why, and the situations where it can be different.

Why does your employer pay?

A settlement agreement is only legally valid if you've received advice from an independent solicitor. Employers need that validity. Without it, the agreement doesn't actually stop you bringing most claims. So nearly every settlement agreement includes a fixed contribution towards your legal fees, paid directly to the solicitor, separate from your settlement payment.

What does the employer contribution typically cover?

The contribution is usually a fixed sum, typically £350–£750 plus VAT, intended to cover a standard review and sign-off for a straightforward case. It's stated in the settlement agreement itself, paid regardless of whether you go on to sign. And whatever your employer contributes is what we charge, so there's normally nothing extra for you to find.

When might you pay your own settlement agreement solicitor fee?

• If your case is unusually complex and needs more work than the standard contribution covers. A solicitor should always discuss this with you and agree it in writing before doing extra work
• If you choose to negotiate the settlement itself extensively rather than just have it explained and signed off. Some firms charge more for active negotiation than a simple review
• If you use a solicitor who charges more than your employer's contribution and doesn't agree to work within it

How does a settlement agreement introducer service work?

Some employees find a solicitor through an introducer, like this site, rather than sourcing one themselves. In that case, the introducer is typically paid a referral fee by the solicitor firm, from the same employer-funded contribution. Not an extra charge to you. See our own how we're paid page for full transparency on how that works here specifically.

What should you check before assuming settlement agreement advice is free?

• Confirm the exact contribution figure stated in your agreement
• Ask the solicitor directly whether your case fits within it, before they start
• Get anything beyond the standard fee agreed in writing first

The solicitor doesn't have to be one your employer names, either. See our guide on choosing your own solicitor and when you'll be paid for more on both.

Not sure what your agreement's contribution actually covers? Send it to us and an independent solicitor can check the wording for you.

Wherever you are in the process, get help with your settlement agreement is here to help.