Virginia Code

Va. Code Ann. § 65.2-701 (2026)

Agreement as to compensation; penalty

✓ current as of May 2026
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A. If after injury or death, the employer and the injured employee or his dependents reach an agreement in regard to compensation or in compromise of a claim for compensation under this title, a memorandum of the agreement in the form prescribed by the Commission shall be filed with the Commission for approval. The agreement may be prepared by the employee, the employer or the compensation carrier. If approved, the agreement shall be binding, and an award of compensation entered upon such agreement shall be for all purposes enforceable as provided by § 65.2-710. If not approved, the same agreement shall be void. Such agreement may be approved only when the Commission, or any member thereof, is clearly of the opinion that the best interests of the employee or his dependents will be served thereby. The approval of such agreement shall bind infant or incapacitated dependents affected thereby. Any agreement entered into during the pendency of an appeal to the Court of Appeals shall be effective only with the approval of the Commission as herein provided.

B. An employer or insurance carrier which fails to file a memorandum of such agreement with the Commission within fourteen calendar days of the date of its complete written execution as indicated thereon may be subject to a fine not to exceed $1,000 and to any other appropriate sanctions of the Commission.

C. Nothing herein contained shall be construed so as to prevent settlements made by and between the employee and employer, but rather to encourage them, so long as the amount of compensation and the time and manner of payment are approved by the Commission. A copy of such settlement agreement shall be filed with the Commission by the employer.

Code 1950, §§ 65-41, 65-90; 1954, c. 518; 1960, c. 299; 1968, c. 660, §§ 65.1-45, 65.1-93; 1971, Ex. Sess., c. 156; 1984, c. 703; 1989, c. 438; 1991, cc. 97, 355; 1997, c. 801.

Notes of Decisions
Cited in 49 cases (5 in the last 5 years), 1993–2025 · leading case: Paula Smith-Adams v. Fairfax Cnty. Sch. Bd., 798 S.E.2d 466 (Va. Ct. App. 2017).
Paula Smith-Adams v. Fairfax Cnty. Sch. Bd., 798 S.E.2d 466 (Va. Ct. App. 2017). · cites it 16× “reach an agreement in regard to compensation or in compromise of a claim for compensation under this title, a memorandum of the agreement in the form prescribed by the Commission shall be filed with the Commission for approval.”
Ryan's Fam. Steak Houses, Inc. v. Gowan, 528 S.E.2d 720 (Va. Ct. App. 2000). · cites it 24× “The General Assembly recodified the Workers' Compensation Act in 1991, and revised Code § 65.2-701 in 1997. In neither the recodification of former Code § 65.”
Watts v. P. & J Hauling, Inc., 584 S.E.2d 457 (Va. Ct. App. 2003). · cites it 14× “While Code § 65.2-701 requires an employer to file an agreement form within fourteen days of its complete written execution, nothing in the statute suggests that the parties are deemed to have entered into an agreement if the employer agrees to compensability and makes voluntary…”
Fairfax Cnty. Sch. Bd. v. Humphrey, 583 S.E.2d 65 (Va. Ct. App. 2003). · cites it 8× “Humphrey’s (claimant) claim was not barred by Code § 65.2-701. Finding no error, we affirm the commission’s decision.”
Henrico Pub. Utils. v. Taylor, 540 S.E.2d 501 (Va. Ct. App. 2001). · cites it 8× “Existence of a De Facto Award Code § 65.2-701 provides as follows: A. If after injury or death, the employer and the injured employee or his dependents reach an agreement in regard to compensation or in compromise of a claim for compensation under this title, a memorandum of the…”
Advance Auto & Indem. Ins. Co. of North Am. v. Brenda Lee Craft, 759 S.E.2d 17 (Va. Ct. App. 2014). · cites it 6× “2d 457, 460 (2003); see also Code § 65.2-701(0 (the Act encourages settlements between the parties).”
Tyco Elec. & Ins. Co. of the State of Pennsylvania v. Tony Alvin VanPelt, 743 S.E.2d 293 (Va. Ct. App. 2013). · cites it 10× “1-93, nor the revision of the present version of Code § 65.2-701 did the General Assembly “reject[] or modify [our] judicial interpretation of the statute in issue.”
White v. Redman Corp., 584 S.E.2d 462 (Va. Ct. App. 2003). · cites it 6× “1-93 (now Code § 65.2-701), which encourages the voluntary settlement of claims, failed to prepare, execute or file a memorandum of agreement.”
Lysable Transp., Inc. v. Patton, 702 S.E.2d 596 (Va. Ct. App. 2010). · cites it 4× “1-93 were then recodified under Code § 65.2-701 in 1991. See 1991 Va. Acts ch.”
Willie Carl Emberton, Sr. v. White Supply & Glass Co., 598 S.E.2d 772 (Va. Ct. App. 2004). · cites it 12× “Emberton argues further that the commission erred in not considering whether the third party settlement was in the best interests of the claimant pursuant to Code § 65.2-701. Emberton finally contends that the employer should be estopped from denying it is responsible for the…”
Odom v. Red Lobster 235, 456 S.E.2d 140 (Va. Ct. App. 1995). · cites it 4× “See Code § 65.2-701. Carrier’s pamphlet identifies the wage loss and medical benefits payable under the Workers’ Compensation Act and included handwritten calculations of the wage loss benefits claimant would receive.”
United Parcel Serv., Inc. v. Ilg, 679 S.E.2d 545 (Va. Ct. App. 2009). · cites it 4× “1-93 (now Code § 65.2-701). Id. at 272-73, 362 S.E.”
— Va. Code Ann. § 65.2-701(A) — 30 cases
Paula Smith-Adams v. Fairfax Cnty. Sch. Bd., 798 S.E.2d 466 (Va. Ct. App. 2017). “reach an agreement in regard to compensation or in compromise of a claim for compensation under this title, a memorandum of the agreement in the form prescribed by the Commission shall be filed with the Commission for approval.”
Ryan's Fam. Steak Houses, Inc. v. Gowan, 528 S.E.2d 720 (Va. Ct. App. 2000). “The General Assembly recodified the Workers' Compensation Act in 1991, and revised Code § 65.2-701 in 1997. In neither the recodification of former Code § 65.”
Tyco Elec. & Ins. Co. of the State of Pennsylvania v. Tony Alvin VanPelt, 743 S.E.2d 293 (Va. Ct. App. 2013). “1-93, nor the revision of the present version of Code § 65.2-701 did the General Assembly “reject[] or modify [our] judicial interpretation of the statute in issue.”
Watts v. P. & J Hauling, Inc., 584 S.E.2d 457 (Va. Ct. App. 2003). “While Code § 65.2-701 requires an employer to file an agreement form within fourteen days of its complete written execution, nothing in the statute suggests that the parties are deemed to have entered into an agreement if the employer agrees to compensability and makes voluntary…”
Advance Auto & Indem. Ins. Co. of North Am. v. Brenda Lee Craft, 759 S.E.2d 17 (Va. Ct. App. 2014). “2d 457, 460 (2003); see also Code § 65.2-701(0 (the Act encourages settlements between the parties).”
— Va. Code Ann. § 65.2-701(B) — 3 cases
Fairfax Cnty. Sch. Bd. v. Humphrey, 583 S.E.2d 65 (Va. Ct. App. 2003). “Humphrey’s (claimant) claim was not barred by Code § 65.2-701. Finding no error, we affirm the commission’s decision.”
Watts v. P. & J Hauling, Inc., 584 S.E.2d 457 (Va. Ct. App. 2003). “While Code § 65.2-701 requires an employer to file an agreement form within fourteen days of its complete written execution, nothing in the statute suggests that the parties are deemed to have entered into an agreement if the employer agrees to compensability and makes voluntary…”
— Va. Code Ann. § 65.2-701(C) — 7 cases
Watts v. P. & J Hauling, Inc., 584 S.E.2d 457 (Va. Ct. App. 2003). “While Code § 65.2-701 requires an employer to file an agreement form within fourteen days of its complete written execution, nothing in the statute suggests that the parties are deemed to have entered into an agreement if the employer agrees to compensability and makes voluntary…”
Henrico Pub. Utils. v. Taylor, 540 S.E.2d 501 (Va. Ct. App. 2001). “Existence of a De Facto Award Code § 65.2-701 provides as follows: A. If after injury or death, the employer and the injured employee or his dependents reach an agreement in regard to compensation or in compromise of a claim for compensation under this title, a memorandum of the…”
White v. Redman Corp., 584 S.E.2d 462 (Va. Ct. App. 2003). “1-93 (now Code § 65.2-701), which encourages the voluntary settlement of claims, failed to prepare, execute or file a memorandum of agreement.”
Tyco Elec. & Ins. Co. of the State of Pennsylvania v. Tony Alvin VanPelt, 743 S.E.2d 293 (Va. Ct. App. 2013). “1-93, nor the revision of the present version of Code § 65.2-701 did the General Assembly “reject[] or modify [our] judicial interpretation of the statute in issue.”
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