Had an employee settlement that they are disputing after the fact.
Question Details: Had a written offer that was superceded by a meeting at the end of employment where we offered an amount of compensation for 3 months employment. The employee agreed, shook hands, sent him a check and was done until I got a letter disputing the agreed upon amount 6 weeks later. How do I respond to his request. Do I need a lawyer ??
Thanks for your inquiry. From your description, it is unclear if this involves a severance package or settlement for some other type of employee claim. While verbal agreements can be legally binding, they are often very difficult to prove and it sounds as though the employee is claiming that the verbal agreement was not made.
You may want to consult with an attorney so that they can fully evaluate the facts (for instance, was this a contractual employee or an at-will employee? What is the basis for the employee's claim? Do you have insurance to cover such claims? If an at-will employee contests the amount of money paid at his/her termination, that likely is no big concern (assuming there were no discriminatory grounds for dismissal), however I cannot tell from your facts what type of employee this was, reason for ending employment or even what the settlement relates to.
Please note that this post does not constitute legal advice and does not form an attorney/client relationship. You may indeed want to consult with an attorney before this dispute escaltes into a lawsuit. Thanks again for the inquiry.