Forcing full & final settlement
Discussion
Wife didn't return to work after maternity leave & has to repay some money. I am perfectly happy to do this however they sent one letter saying nothing owing, then an apology with a new amount of a few £k, then a correction a few weeks later. It is a lot of money and I would ideally like to get them to agree that when we settle at the latest amount the matter is closed to protect us from any further incompetence and heartache.
Would it hold any water legally if I write to them with the cheque and say 'here is the cheque, the employment ceased in April, if you bank this cheque you are accepting our terms that this is full and final settlement regarding this period of employment, exempting us from any further claims for overpayment, and the matter is now closed'
Would it hold any water legally if I write to them with the cheque and say 'here is the cheque, the employment ceased in April, if you bank this cheque you are accepting our terms that this is full and final settlement regarding this period of employment, exempting us from any further claims for overpayment, and the matter is now closed'
catman said:
No, I don't think that there's any legal basis for that assumption. It's been disproved in court before.
Tim
Linky? If you make an offer "here is a cheque in full and final settlement" and someone accepts it by banking the cheque I can't see why that wouldn't be an end to the matter; if they didn't accept then don't bank cheque?Tim
TX.
Terminator X said:
Linky? If you make an offer "here is a cheque in full and final settlement" and someone accepts it by banking the cheque I can't see why that wouldn't be an end to the matter; if they didn't accept then don't bank cheque?
TX.
What if the offer is more than the actual balance, as this company can't seem to make their mind up?TX.
Can you just give them a phone OP? And ask to speak to their HR department and get it sorted once and for all. How there can be that many mess ups I don't know.
jakesmith said:
I just want to prompt them to get the amount right really, it's been a bit of a joke so far. As I said no issues paying it but would rather have the confidence that it is dealt with
You need to ask the former employer to request the payment of '£x in full and final settlement of the debt'. You than pay that and they have no further recourse to you.Terminator X said:
Linky? If you make an offer "here is a cheque in full and final settlement" and someone accepts it by banking the cheque I can't see why that wouldn't be an end to the matter; if they didn't accept then don't bank cheque?
TX.
It was something that I read years ago. Someone with a very large tax bill tried it with the Inland Revenue. They banked the cheque and sued him for the rest.TX.
In court, it was accepted that just because they'd banked the cheque, it didn't mean that they accepted his terms.
Tim
catman said:
It was something that I read years ago. Someone with a very large tax bill tried it with the Inland Revenue. They banked the cheque and sued him for the rest.
In court, it was accepted that just because they'd banked the cheque, it didn't mean that they accepted his terms.
Tim
You are correct. It doesn"t work when a debtor makes the offer. However, if a third party does with their own money it is enforcable.In court, it was accepted that just because they'd banked the cheque, it didn't mean that they accepted his terms.
Tim
catman said:
It was something that I read years ago. Someone with a very large tax bill tried it with the Inland Revenue. They banked the cheque and sued him for the rest.
In court, it was accepted that just because they'd banked the cheque, it didn't mean that they accepted his terms.
Tim
I suspected you might be talking about IR/HMRC. The state is a very different kettle to a private employer. It doesn't take kindly to being denied something which it believes it is entitled to.In court, it was accepted that just because they'd banked the cheque, it didn't mean that they accepted his terms.
Tim
OP, does your wife's ex-employer outsource its payroll? I ask because communication errors between principal and agent are quite commonplace in that scenario. As the ex-employee it is your wife who needs to write to (NOT telephone!) the ex-employer (cc the payroll agency if one is involved). She should ask them specifically what they consider the error to have been, the amount they believe to have been overpaid, and their detailed calculation of how the stated sum has been arrived at.
She should pay nothing until the requested information has been obtained. Check carefully to make sure it is accurate and query anything she doesn't agree with or understand. Ask me how I know...
Once she is happy that the figure is correct, then write back asking for confirmation that payment of that sum will be accepted as full and final settlement of their (i.e. the ex-employer's) claim. If the amount involved is likely to be a financial burden (on her, not you) she should ask to set up a payment plan.
There are times when this forum is accused of becoming like Mumsnet. Which, oddly enough, in this case is a better place to find relevant threads.
jakesmith said:
So the payroll person just responded to my email to confirm that is full & final settlement.
Should I still ask them to re invoice us stating that on the invoice? Or is the email enough?
Invoices are not applicable to payroll-related amounts. Just a note explaining the breakdown would be sensible.Should I still ask them to re invoice us stating that on the invoice? Or is the email enough?
Soov535 said:
It's unlikely they will sue. But don't expect a reference.
Call HR and agree a figure. Then ask to pay if back at £100 a month.
What on earth are you on about. We are perfectly happy to pay it all back in one go, just want to make sure they give us the correct amount with no further demands I think that's reasonableCall HR and agree a figure. Then ask to pay if back at £100 a month.
Why would this affect a reference? It's not like Payrole write references anyway the whole thing is outsourced.
jakesmith said:
Soov535 said:
It's unlikely they will sue. But don't expect a reference.
Call HR and agree a figure. Then ask to pay if back at £100 a month.
What on earth are you on about. We are perfectly happy to pay it all back in one go, just want to make sure they give us the correct amount with no further demands I think that's reasonableCall HR and agree a figure. Then ask to pay if back at £100 a month.
Why would this affect a reference? It's not like Payrole write references anyway the whole thing is outsourced.
OP
your wife will need to repay the Occupational Maternity Pay element of her Mat Pay. What you need to do is Ask the payroll team to provide you with calculations showing
(A) the actual mat pay she received incl tax and NI deductions
(b) the mat pay she should have been entitled to had they known that she wouldn't be returning.
You repay the difference.
your wife will need to repay the Occupational Maternity Pay element of her Mat Pay. What you need to do is Ask the payroll team to provide you with calculations showing
(A) the actual mat pay she received incl tax and NI deductions
(b) the mat pay she should have been entitled to had they known that she wouldn't be returning.
You repay the difference.
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