In civil litigation, an agreement to settle a dispute or provide a release or waiver of claims (see Practice note, Settlement: an overview and Standard document, Settlement agreement and release: civil litigation).

In employment law, an agreement (formerly known as a compromise agreement) whereby an employee or worker agrees not to pursue certain statutory employment tribunal claims against a respondent or potential respondent to a claim. Commonly used to record an employee's terms of departure where they are to receive a termination payment in return for the waiver of all actual and potential statutory (and usually common law) claims against the employer.

For a valid waiver of statutory employment rights, certain statutory conditions must be met:

See Practice note, Settlement agreements (1): statutory requirements of a settlement agreement, Standard document, Settlement agreement: employment (long form) and Standard document, Settlement agreement: employment (short form).