While the law does not require them to do so, many employers present employees with a severance agreement upon the cessation of employment. Severance agreements are often presented pursuant to a company plan, policy or as a way for the employer to eliminate future liabilities. Regardless of the reason a severance agreement is presented to an employee, it is important that the employee have the agreement reviewed prior to executing it. This is because many times such agreements have the employee relinquishing valuable rights. Such as a release of potential legal claims. Also, many times such agreements contain clauses that limit an employee’s future employment. Finally, many times such agreements fail to adequately compensate the employee.
Labar & Adams has reviewed and negotiated numerous severance agreement on behalf of employees. An employee should not execute a severance agreement without fully understanding the implications. If you have been presented with a severance agreement, please contact the employment lawyers at LaBar & Adams, P.A. in Orlando at 407-835-8968 or fill-out the online form located on our website.