Workers have it tough these days – which are not much different than any other day(s). But, there is a bright spot for those who lose their jobs. Courts are now trending towards holding employers to their agreements to NOT contest unemployment benefits. There was a case that served as an example of the recent trend – in which the First District Court of Appeal just upheld an agreement to NOT contest the former employee’s unemployment claim as a result of a provision in the settlement agreement. The settlement agreement contained the following language:
“Employer/Carrier will not contest Claimant’s application or request for unemployment benefits.”
So, the next time you negotiate a separation as part of a workers’ compensation settlement, think about adding a provision that the employer won’t contest unemployment benefits. Your client(s) will thank you – and the provision just may get a tough deal done.