Please understand that you have no way of knowing whether you are forfeiting a valuable claim without hiring an experienced WC attorney in your area. I have practiced in this area of law in Illinois and Indiana for many years and NEVER heard of this scenario. If the company is willing to give you a considerable sum without even filing a claim, they are probably taking advantage of you. It's not impossible that you have a great deal but it's also as likely that you will find a Rembrandt at the next garage sale you visit. An experienced defense attorney isn't going to "give" you anything that you don't deserve, in spades.
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In addition to the previous answer, there is very specific language that must appear in a settlement agreement in order for it to a legally binding waiver of all claims, especially if you are over 40 years of age. And, if the settlement is intended to be a release of a workers compensation claim, it may even need to be approved by a judge.
These agreements are typically prepared by employer's counsel because they have more to lose if the agreement is defective. They should be paying for a lawyer to do this properly. From your perspective, all you need to do is accept a check that says on the memo line, "settlement in full" or something similar.
I would suggest you let the employer worry about how to draft the agreement and you should have a lawyer review it, before you sign it, to make sure your rights are protected.
It is unclear, but it appears that you are referring to a release of all workers compensation claims and perhaps a general release of any and all claims.
As indicated by a prior responder, this is normally drafted by the employer, and/or their attorney, and then provided to the injured worker to review and sign.
You may want to seek legal counsel prior to signing a release or waiver of claims in order to be properly informed of the legal rights and entitlements that you are indeed waiving in return for a lump sum of money.
This answer does not constitute legal advice. I am admitted to the Florida Bar only and make no attempt to provide opinions on legal issueas that are not relevant to that state. This advice is based on general principles of law and ethics that may or may not relate to your specific situation. You should not solely rely on this advice and nothing in these communications creates an attorney client relationship
I don't know about California, but in many states, an agreement to not make a work comp claim is not legally enforceable. You should consult an attorney who is experienced in work comp before you do this. You may be messing up.
Based on the information provided, I assume you have been injured on the job or there is some work related claim in which you would be entitled to compensation. That is the reason your employer is willing to give you some type of settlement. Yes the settlement agreement does need to contain specific language and there are specific requirements in order for it to be enforceable. My recommendation is that no one should sign a general release of any potential claims, which sounds like what you are entering into, as most are drafted, and result in unfortunate consequences for the employee.
Most of these agreements are drafted by the employer which are designed to minimize the rights and benefits of an injured worker. You really do need to advice and probably representation of an experienced and qualified workers' compensation attorney.
Please contact me if you have additional questions or would like to discuss your case further.