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Reimbursement for legal advice in a settlement agreement

3 minuten mr. Jeroen Kaspers kantoor 09 februari 2020 2025

''Employer contributes to the legal costs that employee has made and will still have to make. In case of prompt agreement, these costs amount to [amount] exclusive office costs and VAT.

Importance legal support

A settlement agreement will often contain a provision regarding legal support and related legal costs. Most employers find it important that their employees seek good advice on the content of the settlement agreement and on the consequences of signing a settlement agreement. After all, it is of course not the intention that an employee signs a settlement agreement in ignorance and later returns to the employer (an employee has that possibility!) and destroys the settlement agreement. Often, in the recitals (the beginning of a settlement agreement), something is therefore included about the fact that an employee ''has had the time to seek legal advice''.

Because most employees have no knowledge of settlement agreements, it is important to have a jurist look at it. By the way, it is also important for employees who DO have knowledge of settlement agreements (think of HR employees for example) to have a specialist look at the settlement agreement. For your own situation, you often look differently than for someone else's situation. For that reason alone, it is important to seek external legal support. Also by having an external jurist negotiate for you, often a better result can be achieved.

Costs of legal support

Engaging a jurist naturally involves costs. Most employers see it as their task as a good employer to financially enable their employee to seek legal advice and assistance. For that, a budget is therefore included in the settlement agreement. That budget is usually maximized by the employer. The employee can then declare the legal costs with the employer up to that budget. All costs exceeding the budget are for the employee's own account. It is therefore important for employees to check whether the employer has included a budget for legal costs in the settlement agreement and what that budget is. Ultimately, that can namely play a role in the choice for your jurist.

Our firm has developed a unique working method for employees who have received a settlement agreement and wish legal support from a jurist. We gladly assist you!

mr. J.A. Kaspers

mr. J.A. (Jeroen) Kaspers


Jurist en Mediator

Jeroen is specialist ontslag en arbeidsrecht. Met succes onderhandelt Jeroen bij vaststellingsovereenkomsten of disfunctioneren. Komt u er niet uit? Raadpleeg Jeroen via kaspers@wolderwijd-juristen.nl of 036 522 7007.

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