Can Unknown Future Claims Be Waived By A Settlement Agreement?

This question was recently considered by the Scottish Court of Session, Scotland's supreme civil court, in the recent case of Bathgate v Technip Singapore PTE Limited, who held that yes, unknown future claims can be waived by a settlement agreement.

Settlement agreements and future claims clauses

Settlement agreements are typically entered into to facilitate the exit of an employee from the business, in which the employee agrees to waive or settle any claims against the employer in return for payment.

Employers offering employees a settlement agreement are typically seeking to waive as wide a range of known and unknown claims as possible. Usually, future claims are included in the list of claims that are waived.