New Jersey Severance Agreement Lawyer

Severance Agreement Attorney for New Jersey Employees and Employers

Severance agreements define the terms of separation when employment ends. For employees, the severance package determines the financial bridge between jobs and the restrictions that will apply after departure. For employers, the agreement secures a release of legal claims and protects confidential information and business relationships. In either case, the terms of the severance agreement have significant legal and financial consequences that warrant careful review by an attorney before signing.

Agarunov Law Firm reviews, negotiates, and drafts severance agreements for both employees and employers in New Jersey. We handle executive separations, layoff packages, negotiated departures, and the specific compliance requirements that apply when releasing claims under federal and NJ employment laws. Our Englewood office serves clients throughout Bergen County and northern New Jersey.

Key Severance Agreement Provisions

Severance Compensation

The financial terms of a severance package typically include a lump sum or continuation of salary for a specified period. The amount is negotiable and may be influenced by the employee's tenure, position, the circumstances of separation, and the employer's potential legal exposure. We evaluate whether the offered compensation is adequate in light of the employee's situation and the claims being released.

Release of Claims

Employers require employees to sign a release of all legal claims as a condition of receiving severance pay. The release typically covers claims under the NJ Law Against Discrimination, CEPA, federal discrimination statutes, wage and hour laws, and common law causes of action. We review releases to ensure that the employee understands what claims are being waived and whether the compensation offered is proportionate to the value of those claims.

OWBPA Requirements for Employees Over 40

When a severance agreement includes a release of age discrimination claims for employees age 40 and older, the Older Workers Benefit Protection Act (OWBPA) imposes specific requirements. The release must be written in plain language, specifically reference rights under the Age Discrimination in Employment Act, provide consideration beyond what the employee is already entitled to, advise the employee to consult an attorney, and provide either 21 days (individual termination) or 45 days (group termination) to consider the agreement plus 7 days to revoke after signing. Failure to meet these requirements renders the age discrimination release unenforceable.

Non-Disparagement and Confidentiality

Severance agreements commonly include mutual non-disparagement provisions that restrict what both parties can say about each other after separation. Confidentiality clauses may restrict the employee from disclosing the terms of the agreement or proprietary business information. We negotiate these provisions to ensure they are mutual, reasonable, and do not prevent the employee from exercising legally protected rights such as filing regulatory complaints or responding to government inquiries.

Modification of Restrictive Covenants

Separation is often an opportunity to renegotiate restrictive covenants from the original employment agreement. Non-compete provisions that seemed reasonable at hire may be overly burdensome at separation. We negotiate reductions in scope, duration, or geographic reach of non-compete and non-solicitation restrictions as part of the severance negotiation.

NJ WARN Act Severance Obligations

Under the NJ WARN Act, employers who fail to provide 90 days advance notice of a mass layoff or plant closing must pay affected employees severance equal to one week of pay for each full year of employment. This obligation exists independent of any negotiated severance package. We advise employers on NJ WARN compliance and represent employees who are entitled to WARN Act severance.

Why NJ Clients Choose Agarunov Law Firm for Severance Matters

• Experienced negotiating severance packages under New Jersey employment law, including NJ WARN Act compliance and OWBPA requirements.
• Represent both employees seeking better terms and employers structuring compliant separation agreements.
• Englewood office at 285 Grand Avenue serving Bergen County clients.
• Licensed in both New York and New Jersey for separations involving multi-state employment.
• Free initial consultations for severance agreement review.