Severance and Separation Agreements

Severance and separation agreements

When your employment ends, your employer may offer you financial compensation (usually in the form of a lump sum payment, continuation of benefits, or other monetary benefit) in exchange for signing a Severance Agreement (also referred to as a “Separation Agreement”). In exchange for this payment, you will be required to release (i.e., “forfeit”) any and all claims you have or may have against your Employer. This is true regardless of whether you are aware of such claims. In other words, if your employer offers you money in exchange for signing a Severance Agreement, and you later find out that your employer engaged in unlawful conduct (such as discriminating against you because of your age, sex, disability, etc.), you will have forfeited the ability to bring a lawsuit against your Employer.

The terms and conditions of these Agreement are extremely important. This is especially true is you have been discriminated against, retaliated against, harassed, wrongfully terminated, or denied wages/commissions that you earned during your employment. These terms are also important if you have earned or been promised any stock or equity options from your Employer.

Some companies have a standardized practice of offering Severance when they terminate employees. Sometimes your Employer’s conduct is legal. Sometimes it is illegal. Unfortunately, it has become all too common for Employers to use Severance Agreements to opportunistically get rid of employees (for example, older employees). Even worse, most employees who are terminated and offered Severance are not well-acquainted with the law and, as such, are not aware of the legal rights they are giving up in exchange for signing the Agreement.

Losing your employment is an incredibly difficult time. Many employees think of their workplace and their colleagues like a second home. We feel secure. We feel fulfilled. We feel loved and appreciated. Our colleagues are not just our co-workers. Many are our friends. If you lose your employment, we are here for you. We can help review your Severance or Separation Agreement and talk about what happened. We can determine whether your Employer has done something illegal. If so, we may be able to help get you more money or bring a lawsuit on your behalf.

We have helped many clients negotiate better offers from their Employers (occasionally double or triple the original amount—sometimes even more). We have also brought lawsuits in which our clients have received substantial payments for their Employers’ wrongful conduct.

If you have been terminated, laid-off, or had your position eliminated, it is incredibly important to talk with an attorney. Sometimes accepting your Employer’s original Severance offer is the right move. Sometimes it is not. At Tyler W. Brennan Law, LLC, we’re here to assist you in making the determination. Call us (612.351.0084) or click the button below to schedule a free consultation. We’re here for you.