Free Severance Agreement

This Severance Agreement ("Agreement") is made and entered into on this day of [Effective Date], by and between [YOUR NAME], with a principal place of business at [Your Company Address] (hereinafter referred to as the "Employer") and [EMPLOYEE's NAME], residing at [Employee's Residence Address] (hereinafter referred to as the "Employee").

I. Termination

1. The Employer and the Employee mutually agree that the employment relationship between them will terminate on [Date of Termination].

2. The Employee agrees to fulfill all of his/her responsibilities until the said date of termination.

3. The termination of employment shall be deemed a termination without cause.

4. The Employee shall be entitled to participate in any company-provided benefits until the date of termination.

II. Severance Pay

1. Upon termination, the Employee will receive Severance pay amounting to [Specific Dollar Amount].

2. The Severance pay will be paid in consistent payments over the course of [Number of Months].

3. The Employee shall receive a lump sum payment of [Specific Dollar Amount] within [Number of Days] days of the effective date of this Agreement.

4. The Severance pay shall be subject to applicable taxes and deductions as required by law.

III. Benefits Continuation

1. The Employer agrees to continue the Employee's health insurance benefits for a period of [Number of Months].

2. The Employee will be responsible for any premium payments during the continuation period.

3. The Employee may elect to continue other benefits, such as dental and vision insurance, at his/her own expense during the continuation period.

IV. Severance Benefits

1. The Employee shall receive the following severance benefits upon termination:

   • Severance pay equal to [Specific Dollar Amount], which will be paid in consistent payments over the course of [Number of Months].

   • Continued health insurance benefits for a period of [Number of Months], with the Employee responsible for any premium payments during this period.

2. The Employer reserves the right to modify or terminate the severance benefits outlined in this Agreement at any time, in its sole discretion, provided that such modification or termination does not violate applicable law or the terms of this Agreement.

V. Release of Claims

1. The Employee agrees to release and forever discharge the Employer, its affiliates, and all associated entities from any and all claims, lawsuits, and actions that have arisen or may arise from the Employee's employment or termination of employment.

2. This release includes, but is not limited to, claims for wrongful termination, discrimination, harassment, and breach of contract.

3. The Employee acknowledges that he/she has been given the opportunity to review this Agreement with an attorney and understands the legal implications of signing this release.

VI. Confidentiality

1. The Employee agrees to maintain in confidence all confidential and proprietary information of the Employer.

2. The Employee shall not disclose such information to any third party without the prior written consent of the Employer.

3. This confidentiality obligation shall survive the termination of this Agreement.

4. In the event of a breach of confidentiality by the Employee, the Employer shall be entitled to seek injunctive relief and/or damages as permitted by law.

VII. Non-Disparagement

1. Both Parties agree to refrain from any form of defamatory, derogatory, or disparaging remarks, comments, or statements concerning the other to any third party.

2. This non-disparagement obligation shall survive the termination of this Agreement.

3. The Parties agree that any breach of this non-disparagement provision shall entitle the non-breaching Party to seek injunctive relief and/or damages as permitted by law.

4. The Parties further agree that any disputes regarding alleged breaches of this non-disparagement provision shall be resolved through arbitration, with each Party bearing its own costs and expenses.

VIII. Return of Company Property

1. Upon termination, the Employee agrees to return all company property, including documents, keys, electronic devices, etc., to the Employer.

2. Failure to return company property may result in legal action by the Employer.

3. The Employee acknowledges that he/she has returned all company property and has not retained any copies or duplicates thereof.

IX. Consideration Clause

1. The Severance pay and other benefits provided herein are provided in consideration of the promises and releases contained in this Agreement.

2. Both Parties acknowledge the sufficiency of the consideration provided.

3. The Employee acknowledges that he/she has had the opportunity to negotiate the terms of this Agreement and has done so to his/her satisfaction.

4. The Employer acknowledges that it has not coerced or unduly influenced the Employee in entering into this Agreement.

X. Acknowledgment of Understanding

1. Both Parties acknowledge that they have read and understood the terms of this Agreement.

2. Both Parties enter into this Agreement voluntarily and without duress.

3. The Employee acknowledges that he/she has had the opportunity to ask questions and seek clarification on any provisions of this Agreement.

4. The Employee acknowledges that he/she has been advised to seek legal counsel before signing this Agreement and has either done so or knowingly waived such right.

XI. Legal Review

1. The Employee is advised to seek legal counsel before signing this Agreement to ensure they understand their rights and obligations.

2. The Employer advises the Employee to take the time necessary to review this Agreement and seek clarification on any provisions that are unclear.

3. The Employer represents that it has consulted with legal counsel in drafting this Agreement and believes it to be legally enforceable.

4. The Parties agree that any disputes arising under this Agreement shall be resolved through arbitration in accordance with the rules of the American Arbitration Association.

XII. Severability Clause

1. If any provision of this Agreement is found to be unenforceable, the remaining provisions shall remain in full force and effect.

2. The Parties agree to replace any unenforceable provision with a valid provision that comes closest to the original intent of the Parties.

3. The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other provision.

XIII. Governing Law

1. This Agreement shall be governed by and interpreted in accordance with the laws of [State Name].

2. Any disputes arising under this Agreement shall be resolved in the courts of [State Name].

3. The Parties agree that any legal action arising under this Agreement shall be brought exclusively in the courts of [State Name].

XIV. Entire Agreement

1. This Agreement constitutes the entire agreement between the Parties with respect to the subject matter hereof and supersedes all prior agreements and understandings, whether written or oral, relating to such subject matter.

2. Any modifications or amendments to this Agreement must be in writing and signed by both Parties.

3. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument.

IN WITNESS WHEREOF, the Parties have executed this Severance Agreement as of the Effective Date first above written.

EMPLOYER:

[Your Name]

Date: [Date Signed]

EMPLOYEE:

[Employee's Name]

Date: [Date Signed]

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