Part 7Miscellaneous

Employment tribunals: ACAS

142Recovery of sums payable under compromises involving ACAS

In the Employment Tribunals Act 1996 (c. 17), after section 19 insert—

19AConciliation: recovery of sums payable under compromises

1

Subsections (3) to (6) apply if—

a

a conciliation officer—

i

has taken action under section 18 in a case, and

ii

issues a certificate in writing stating that a compromise has been reached in the case, and

b

all of the terms of the compromise are set out—

i

in a single relevant document, or

ii

in a combination of two or more relevant documents.

2

A document is a “relevant document” for the purposes of subsection (1) if—

a

it is the certificate, or

b

it is a document that is referred to in the certificate or that is referred to in a document that is within this paragraph.

3

Any sum payable by a person under the terms of the compromise (a “compromise sum”) shall, subject to subsections (4) to (7), be recoverable—

a

in England and Wales, by execution issued from a county court or otherwise as if the sum were payable under an order of that court;

b

in Scotland, by diligence as if the certificate were an extract registered decree arbitral bearing a warrant for execution issued by the sheriff court of any sheriffdom in Scotland.

4

A compromise sum is not recoverable under subsection (3) if—

a

the person by whom it is payable applies for a declaration that the sum would not be recoverable from him under the general law of contract, and

b

that declaration is made.

5

If rules of court so provide, a compromise sum is not recoverable under subsection (3) during the period—

a

beginning with the issue of the certificate, and

b

ending at such time as may be specified in, or determined under, rules of court.

6

If the terms of the compromise provide for the person to whom a compromise sum is payable to do anything in addition to discontinuing or not starting proceedings, that sum is recoverable by him under subsection (3)—

a

in England and Wales, only if a county court so orders;

b

in Scotland, only if the sheriff so orders.

7

Once an application has been made for a declaration under subsection (4) in relation to a sum, no further reliance may be placed on subsection (3) for the recovery of the sum while the application is pending.

8

An application for a declaration under subsection (4) may be made to an employment tribunal, a county court or the sheriff.

9

Employment tribunal procedure regulations may (in particular) make provision as to the time within which an application to an employment tribunal for a declaration under subsection (4) is to be made.

10

Rules of court may make provision as to—

a

the time within which an application to a county court for a declaration under subsection (4) is to be made;

b

the time within which an application to the sheriff for a declaration under subsection (4) is to be made;

c

when an application (whether made to a county court, the sheriff or an employment tribunal) for a declaration under subsection (4) is pending for the purposes of subsection (7).

11

Nothing in this section shall be taken to prejudice any rights or remedies that a person has apart from this section.

12

In this section “compromise” (except in the phrase “compromise sum”) means a settlement, or compromise, to avoid proceedings or bring proceedings to an end.