The Employee Termination Release Agreement is a crucial document used when ending an employment relationship in the United States. It serves multiple purposes: protecting the employer from potential future litigation, providing the employee with clear severance terms, and ensuring compliance with federal and state employment laws. This agreement is particularly important when offering severance packages or in situations involving sensitive departures. The document must comply with various federal regulations including the Age Discrimination in Employment Act (ADEA), especially for employees over 40, and may need to address state-specific requirements depending on the jurisdiction.
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1. Parties: Identification of employer and employee
2. Background: Context of employment and termination
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specific date employment ends and details of final working day
5. Severance Payment: Amount, timing, and terms of severance payment
6. General Release: Employee's comprehensive release of claims against employer and related entities
7. Consideration Period: Acknowledgment of statutory review period (21 days for individual termination, 45 days for group termination)
8. Revocation Rights: Right to revoke acceptance within 7-day period after signing
1. Non-Compete Provisions: Restrictions on future employment and business activities, subject to state law restrictions
2. Confidentiality Obligations: Ongoing obligations regarding confidential information and trade secrets
3. Return of Company Property: Process and timeline for returning company assets, documents, and equipment
4. Reference Provision: Terms and conditions for future employment references and communications
5. Non-Disparagement: Mutual or one-way agreements regarding future communications about the parties
6. Cooperation: Terms for post-employment assistance with transition or legal matters
1. Schedule A - Severance Calculation: Detailed breakdown of severance payment and applicable deductions
2. Schedule B - Benefits Continuation: Details of ongoing benefits coverage including health insurance and COBRA rights
3. Schedule C - Company Property Checklist: Itemized list of company property to be returned
4. Schedule D - OWBPA Disclosure: Required disclosure for age-based terminations including job titles and ages
Relevant legal definitions
Agreement
Company
Confidential Information
Effective Date
Employee
Employment Agreement
Parties
Release
Released Claims
Released Parties
Severance Payment
Termination Date
Consideration Period
Revocation Period
Company Property
Intellectual Property
Trade Secrets
Competing Business
Restricted Period
Covered Benefits
Separation Benefits
Accrued Obligations
Cause
Claims
Governing Law
Surviving Obligations
Company
Confidential Information
Effective Date
Employee
Employment Agreement
Parties
Release
Released Claims
Released Parties
Severance Payment
Termination Date
Consideration Period
Revocation Period
Company Property
Intellectual Property
Trade Secrets
Competing Business
Restricted Period
Covered Benefits
Separation Benefits
Accrued Obligations
Cause
Claims
Governing Law
Surviving Obligations
Clauses
General Release of Claims
Severance Payment
Benefits Continuation
Confidentiality
Non-Disparagement
Non-Competition
Non-Solicitation
Return of Property
Cooperation
Consideration Period
Right of Revocation
Tax Matters
COBRA Rights
References
Waiver of Rights
Governing Law
Dispute Resolution
Entire Agreement
Severability
Amendment
Assignment
Acknowledgment
Binding Effect
Indemnification
Survival
Severance Payment
Benefits Continuation
Confidentiality
Non-Disparagement
Non-Competition
Non-Solicitation
Return of Property
Cooperation
Consideration Period
Right of Revocation
Tax Matters
COBRA Rights
References
Waiver of Rights
Governing Law
Dispute Resolution
Entire Agreement
Severability
Amendment
Assignment
Acknowledgment
Binding Effect
Indemnification
Survival
Relevant Industries
Relevant Teams
Relevant Roles
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