A severance agreement can be a vital part of an employment contract or deal. The Colorado employer and employee must both agree and feel comfortable with the details of severance agreements as any disagreement can lead to litigation or general contention that affects the working relationship. Regardless of whether you are the employee looking for optimal benefits or an employer looking to protect your business interest, an attorney should review any severance agreement for the protection of both.
One thing to be aware of when presented with a severance agreement is the possible existence of a waiver clause. This clause goes into effect once the agreement is signed. The waiver clause essentially means the employee has no right to revise the agreement or have an attorney review the agreement. Also, the employee may be giving up the right to pursue a legal claim against the employer.
Employees are not the only ones who should rely on legal guidance when dealing with a severance agreement. An employer may need insight as to how to proceed or what action can be taken if an agreement is violated. A breach of an agreement can easily lead to litigation.
There may be a lot at stake for both parties when severance agreements are drafted. Colorado employers and employees need legal protection and insight into what their rights are concerning any legal document that either party needs to sign or agree upon. Our website has more information about wavier clauses and other legal issues that can impact the employee/employer relationship.