Compromise and Release Agreement

A Compromise and Release Agreement is a legal document used in workers' compensation cases where the injured worker and the employer agree to settle the claim. Instead of continuing with a potentially lengthy dispute, both parties negotiate to resolve all issues for a lump sum payment or other terms. This agreement finalizes the worker’s right to future benefits related to the injury, often providing certainty and closure for both sides. It’s a mutually agreed-upon resolution meant to save time and resources versus ongoing litigation.