Both parties sign form COT3 as a formal record of the agreement reached after conciliation with the assistance of an ACAS official. As specialists in labour law, we advise you on any questions regarding settlement agreements, ACAS early mediation or corporate mediation. Talk to our experts today to advise you. It is similar to the purpose of a transaction agreement, although the wording of a COT3 tends to be more succinct. Just as a settlement agreement prevents an employee from asserting rights before the labour court, a COT3 draws a line under the duties collected and can also prevent other claims from being sued in court. The main difference between the two types of agreements is the participation of ACAS. In short, the effect is to prevent an employee from asserting or suing certain rights before the labour court. It may have the effect of termating the worker`s employment relationship. It may also impose confidentiality obligations on one or both parties. Often, these agreements also prevent the parties from speaking ill to each other and may contain an agreed reference to which the employer is bound. Like settlement agreements, the text of a COT3 and the comparison described therein are generally negotiable, provided they do so at an early stage. It is important to consider all aspects of a transaction during negotiations, including the agreed compensation as well as non-financial aspects such as a favorable reference and confidentiality.
In many cases, a COT3 benchmark agreement will be relatively short and simple, although you should always consult experts if there is uncertainty about the nature and impact of the proposed conditions. Before asserting a remedy, employees must first inform the Advisory Conciliation and Arbitration Service (ACAS) of their workplace dispute. At this stage, early mediation is offered to the parties, a procedure in which the potential plaintiff and the defendant have the opportunity to reach an agreement without resorting to legal proceedings. Before signing a coT3 settlement agreement, it is important to obtain the best possible legal advice to consider the merits of a court application and the level of comparison possible. If you have concluded an agreement with your employer and the employer has been notified to the mediator, the agreement cannot be changed. You must ensure that you agree with the conditions set before communicating them to the mediator. If a COT3 has been created, check the final version and make sure you are satisfied with all the conditions.