“The purpose of the consultation is to better understand how confidentiality clauses and the legal framework in their environment work in practice and to assess the changes needed to ensure that individuals are adequately protected from abuse.” An employer may use a confidentiality agreement (NDA) to prevent the exchange of information by an employee or employee. When an employer offers a number of employees a settlement contract, all of which requires independent legal advice, this can be a considerable effort, especially when a number of different lawyers are responsible for acting for each worker to advise them on the terms. However, in order to streamline the process, the employer can transfer direct employees to a single law firm to advise all employees on the transaction contract. This scenario is acceptable if the legal counsel is not or is not acting for the employer or associated employer. In the settlement agreement, there is my “reason for withdrawal” – must it be true? Although there is no legal right to accompany the worker to a meeting to discuss a proposed transaction contract, employers should, as part of best practices, allow the worker to be monitored. The worker may be assisted by a co-worker or union representative. It can also help move conciliation negotiations forward. First, the terms of this agreement must therefore state that a request for wrongful dismissal will no longer be possible. It will not be enough to simply explain that the agreement is in “full and final settlement of all claims.” In order to be legally binding, a transaction contract must expressly state the rights it must cover. In this case, the employer had agreed to pay the amount of compensation to the worker in increments and had not paid them when it found that the worker had passed the details of the agreement to a third party; the employer found that this was a breach of the confidentiality clause.
High goal, but willing to compromise. To reach an agreement, both sides must feel that the agreement is right. In order to ensure that all negotiations remain confidential before they are completed, there can be no inappropriate behaviour either with the offer or with discussions regarding a transaction contract.