Commercial Settlement

[tron1039]

Hi!

I was wondering if any employment lawyers are around and could explain to me what a "commercial" settlement is in the context of an employment tribunal?

For context, we are currently in the ET process following my husbands unfair dismissal (our view). The Employer has engaged with ACAS and said they will only be willing to engage on a commercial settlement but I can't find any clarity around what this means.

Big thanks in advance!

It means they are prepared to offer money to settle the claim before it gets to a tribunal hearing.

Ask them to make an offer on a “without prejudice” basis and see what they offer.

Hmm our lawyer has said we shouldn't accept a commercial agreement... he's a tool but we're going to have to ask him to explain. Such a nightmare.

Thank you for the response!

Your lawyer can’t possibly advise that without knowing what they are offering. He sounds dubious

A Commercial Settlement is, by its nature, always going to be a lesser amount to what might be awarded at Tribunal for a successful unfair dismissal claim. The other side is effectively offering a get-out to avoid further expense of legal fees for both sides - it's worth considering their offer of a Commercial settlement to draw a line under the matter.

That said, a solicitor worth their salt will always negotiate, they should never just accept the first offer made by the other side because it will be a poultry amount to start the bidding.

If your lawyer is a tool he may be more focused on going to tribunal which makes him more money

Solicitor wont accept the poultry amount unless he's chicken.

🐣 🐓