Video: What to Think About Before You Sign That Severance Agreement:

TRANSCRIPT:



My name is Attorney Richard Berger of Berkent Legal Services (www.berkent.com)
answering your questions via video blogs. Today we are discussing
the most important things you should think about before signing that
severance agreement:



1. Claims and Releases (including age and gender discrimination claims
hidden with layoffs)



2. What are you releasing: a. Have you received all of your pay, vacation,
sick time, etc.; b. Will you have further commissions due that you
are waiving; c. Actual damages, liquidated damages, rescission of
the agreement, arbitration



3. Non-disparagement conditions



4. Confidentiality



5. Agreed-upon recommendation (in a form agreed upon and delivered
at the signing)



6. Tax issues for the payments: payments in some amounts may lead
to tax penalities or may be illegal for some high-level managers of
publicly traded companies



7. Effect of the payments on your ability to have health care discounts
(under recent economic recovery legislation)



8. You need to determine the effect on the severance agreement on
your ability to collect unemployment compensation through your state.




9. Who will handle the paperwork to rollover 401K benefits;



10. Whether the employer will contest unemployment compensation benefits;



11. Outplacement services;



12. Agreement not to reapply.



That's it for now. This is Richard Berger of Berkent Legal Services
(www.berkent.com) wishing you the very best in your legal affairs.