At some point in a legal dispute, parties will turn their mind towards settlement. This process is all the more important in litigation, as Ontario court rules actively punish parties who ignore reasonable settlement offers.

The majority of employment disputes are resolved long before they ever reach a court room. Usually, the former employee will agree to accept a sum of money from their previous employer in exchange for executing a release agreement. While the substance of release agreements can vary, they generally share two similarities:

1. No further liability: The individual agrees that upon receipt of an agreed payment, he/she shall have no further right to seek additional compensation as a result of their employment, or the termination thereof; and

2. Confidentiality: The individual agrees to keep the terms of settlement confidential.