1. Overview of the Case
The client came to experience a conflict with a former employee over wage settlement and personnel measures during the resignation process. The counterparty raised the issue that the settlement agreement prepared by the company contained unfavorable clauses, and there was a concern that if the negotiations broke down, the matter could escalate into a long-term legal dispute.
2. Key Issues and Response
The biggest issue was the excessive breach penalty clause included in the settlement agreement.
The counterparty argued that it was difficult to accept, but the client needed a securing mechanism to ensure the effectiveness of the settlement.
Your Legal Team adjusted the clause to a reasonable level, devising a compromise that reduced excessive legal risk while still protecting the company's position.
In addition, some clauses that could be applied unilaterally to the company's disadvantage were deleted or amended to achieve a balanced adjustment, and a clause preventing mutual disparagement was inserted to protect the company's external trust. In this process, we led the negotiations so that the dispute could be concluded swiftly while minimizing the client's actual risk.
3. Result and Significance
The final settlement was concluded amicably, and the company was able to bring the case to a close without unnecessary legal disputes.
In particular, by preventing the assumption of excessive responsibility and deriving a settlement that balanced the company's reputation and interests, we achieved a tangible risk management effect.
This case can be regarded as a representative success in which, amid a personnel and labor conflict situation, Your Legal Team presented a realistic solution by prioritizing the client's interests above all.