A compromise and release (C&R) agreement is a type of contract between an injured worker and a party—usually an insurance company—that is paying workers' compensation benefits to the injured person. By signing the agreement, the injured party settles his workers' compensation claim in exchange for a lump-sum check.
What happens after a Compromise and Release?
Once you sign a compromise and release, your employer is released from all future liability. If the injury leads to a death in this case, your loved ones will not be able to collect benefits as a result of this release as well. Legally binding once a judge approves it.
What is order approving Compromise and Release?
A Compromise and Release is an agreement for the insurance company to issue the injured worker a lump sum payment to settle the entire workers' compensation case. The value of the settlement is determined mainly by the present (and projected future) lost wages and medical care expenses.