Under the OWBPA, employees must have seven days to revoke their waiver of age rights after signing severance agreements. This right of withdrawal applies in the context of individual and collective draws. A compensation agreement involving the release of rights is a good option to take into account when an employee should be fired, but there is little or no prior documentation of misconduct or performance problems. If the employee signs the severance agreement, the risk of legal action is almost completely excluded. A valid discharge of claims must be informed and voluntary to be enforceable. It is therefore important that severance agreements be drafted, as far as possible, in simple language that the worker can understand. A severance agreement that lasts 10 pages or more and contains a dense legal is not ideal and may indeed be vulnerable to attack if an outgoing employee contemplates having signed the agreement. In addition, a compensation agreement must meet additional requirements in order to be applicable. See z.B. Skrbina v.
Fleming Cos. (1996) 45 Cal.App.4th 1353, 1366 [“As a general rule, a written notification terminates any obligation under the conditions of publication, unless it has been obtained by fraud, deception, misrepresentation, coercion or inappropriate influence.”] Hill v. Kaiser Aetna (1982) 130 Cal.App.3d 188 [Discussion on Severance Pay].↥ So what does this mean for you? If you have been offered a compensation agreement and you would like to either renegotiate it or have questions about your rights, you should contact a lawyer as soon as possible to discuss your options. Time is not on your side. You will need the best advice you can get before you decide to accept, refuse or renegotiate the contract offered. Restrictions on severance agreements. While the release of the provision may include a non-recourse agreement in a termination agreement, it should not prohibit the employee from filing a discrimination complaint with the U.S. Equal Employ Opportunity Commission or the California Department of Fair Employ Employment Employment and Housing. Similarly, the Securities and Exchange Commission opposes provisions prohibiting employees from reporting securities violations to the agency.