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Equality North East

Government amends 'unenforceable' Equality Act compromise agreement provisions

The Government has published an amendment to the provisions on compromise agreements in the Equality Act 2010, after employment lawyers said that the wording of the Act made the agreements made under it "unenforceable".

Compromise contracts allow an employer to reach a binding agreement with an employee, which prevents the individual from pursuing a discrimination claim against the organisation in return for a financial payment.

However, shortly after the Equality Act came into force last October, the Law Society argued that the wording of the legislation made compromise agreements "unenforceable" as it meant that a claimant's lawyer could not be considered to be an independent adviser.

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February 21, 2012

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