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A settlement agreement is a legal agreement between an employer and an employee where the employee gives up their right to bring employment claims in exchange for a termination payment. The employee must receive independent legal advice on the agreement. Factors to consider include potential claims, merits, and value of claims, as well as the stress and costs of pursuing a claim. It is important for the legal adviser to assess the offer to determine if it is reasonable, and in some cases, negotiating a higher offer may be possible.
