Severance Agreements

To contact Donna Ballman regarding a news story or speaking engagement about severance agreements or a severance agreement lawsuit, email her at ballmand@ballmanfirm.com. Donna Ballman is not accepting new employment law matters.

Separation Agreement - Severance Contract – Redundancy Golden Parachute

Ms. Ballman has lectured extensively and written numerous publications on employment law, including issues with severance contracts. She was also featured on Sky Radio -- Forbes’ “America’s Most Influential Women” radio program, and in the Daily Business Review's Labor & Employment Roundtable on the issues of severance and non-compete agreements.

Severance Agreement OverviewSeverance Terms:
  • Severance Contract
  • Termination Agreement
  • Redundancy Agreement
  • Golden Parachute
  • Severance Agreement
  • Separation Agreement
  • Made Redundant

Employees: Severance Agreements – What to Think About Before You Sign One, and Why You Might be Able to Get One Even if it Isn’t Offered

When I have represented terminated employees, many of them have been presented with severance agreements that they asked me to review for them. Many more have not been offered severance, but may be able to receive it if they know how to ask. What should you do if you’ve been fired, laid off, or made redundant, before you sign a severance agreement? And what should you do if severance is not offered? Read More

What Might Give You Leverage to Negotiate Better Severance

If you have potential legal claims you could bring against your employer, those claims might give you leverage to negotiate a better severance package than the one offered, or to persuade your employer to offer a severance package. Negotiating is tricky, so it’s best to hire an experienced severance attorney. To locate an employee-side employment attorney, go to http://exchange.nela.org/findalawyer.

These are just some of the potential claims against your employer that might give your attorney leverage to negotiate with them:

Requirements for Enforcing a Severance Agreement

To make a severance contract enforceable, the employer must offer the employee something more than he or she would ordinarily receive in the normal course of business—such as the so-called golden parachute. There needs to be something in addition to the compensation normally received by employees upon separation from employment—accumulated vacation pay, unused sick pay, etc. Without some benefit added, the release the employer gets in the severance agreement is unenforceable, and the employer no longer has the ability to require the former employer to abide by his or her obligations under the contract. Quite often this employee requirement is a non-compete agreement. If the employer has not designed an enforceable severance contract by including unique benefits, the non-compete clause in the severance contract may not be enforceable. To locate an employee-side employment attorney, go to http://exchange.nela.org/findalawyer.

Negotiating Severance Agreements

It is important to consult with an experienced employment law attorney when negotiating severance agreements. With layoffs, mergers and acquisitions forcing executives, managers and employees out of their jobs, hiring a competent employment lawyer to review and negotiate severance agreements is key. Most employers want to avoid potential discrimination, whistleblower, and other employment law claims. Offering an attractive severance package or golden parachute is one way employers can avoid these claims.This area of employment law is constantly changing, which makes it essential to discuss drafting a severance agreement with a skilled employment lawyer. To locate an employee-side employment attorney, go to http://exchange.nela.org/findalawyer.

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Severance Agreements, Noncompete Contracts, and more

For more information on severance agreements, non-Compete contracts or breach of contract, please visit Employment Agreements.