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Settlements: Compromise agreement excluded employee's contractual claim

This report relates to 1 case(s)

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    Sutherland v Network Appliance Ltd and another [2001] IRLR 12 EAT (0 other reports)

An employee who entered into an agreement with his employer to accept a payment "in full and final settlement of any claims" against the employer arising out of his employment or its termination, had effectively compromised any claim for damages for breach of contract and so could not pursue such a claim before an employment tribunal, holds the EAT in Sutherland v Network Appliance Ltd and another [2001] IRLR 12. The tribunal had no jurisdiction to consider the employee's contractual claim, as it had arisen under the Employment Tribunals Act 1996, not the Employment Rights Act 1996 and, accordingly, it was not caught by the latter's restriction on contracting out in respect of proceedings under that Act.