employee-separation-release

name	employee-separation-release
title	Employee Separation and Release Agreement
description	Drafts U.S. employee separation and release agreements exchanging severance consideration for a comprehensive release of employment-related claims, with OWBPA/ADEA compliance, COBRA terms, confidentiality, and post-employment obligations. Use when preparing separation agreements, severance packages, termination releases, or settling employment claims.
author	CaseMark
author_url	https://github.com/CaseMark/skills/tree/main/skills/legal/employee-separation-release
license	Apache-2.0
version	0.1.0
execution_mode	open
jurisdiction	us
practice	employment
language	en

Employee Separation and Release Agreement

Drafts a severance-backed agreement resolving employment-related claims and establishing post-employment obligations under U.S. law.

Prerequisites

Gather before drafting:

• Employer entity, address, authorized signatory
• Employee name, address, title, start date, separation date
• Separation reason; disputed issues or pending claims
• Final pay: wages through separation, PTO/vacation payout, bonuses/commissions, expense reimbursements
• Severance: amount, schedule, method, conditions
• Benefits: COBRA notice timing, any employer subsidy
• Equity treatment: options/RSUs/units and governing plan docs
• Existing agreements: confidentiality/IP, noncompete, non-solicit, arbitration
• Governing law, forum, dispute resolution preference
• Employee age; whether part of a group termination (OWBPA disclosure data if applicable)
• Company property inventory and return process

Workflow

1. Build a fact sheet from prerequisites; confirm missing items with the user.
2. Assemble agreement sections in the order below.
3. Insert optional clauses where triggered.
4. Run the compliance checklist and correct gaps.

Section Order

#	Section	Key Content
1	Opening and Recitals	Parties, effective date, separation context; keep factual, non-admission
2	Separation Terms	Last day, final wages, PTO payout, commissions/bonuses, expense reimbursements; tie to state law
3	Return of Property	Items, deadline, certification of return, access revocation
4	Consideration	Severance amount/schedule, benefits subsidy, outplacement, equity; must exceed existing entitlements
5	Release of Claims	General release of known/unknown federal, state, and local employment claims
6	Carve-outs	Non-waivable claims, agency charges, post-signing claims, unemployment, workers' comp, indemnification
7	OWBPA (age 40+)	ADEA-specific release; 21-day (individual) or 45-day (group) review period + 7-day revocation
8	Confidentiality	Company confidential info + agreement terms; include DTSA immunity notice if trade secrets involved