Employmentdocx

Severance and Release Agreement

Federal & State Law Editorial TeamLast reviewed: April 2026

Agreement providing severance pay in exchange for the employee's release of legal claims against the employer. Includes non-disparagement and confidentiality provisions.

DOCX TemplateUse the instructions below to complete this form

Instructions

Parties: Employer entity and departing employee

Severance Benefits: Specify the severance amount, payment schedule, and extended benefits

Release of Claims: The employee releases all claims (discrimination, wrongful termination, wage claims)

ADEA Compliance: For employees 40+, provide 21 days to consider (45 days for group layoffs) and 7 days to revoke

Non-Disparagement: Both parties agree not to make negative statements about each other

Confidentiality: The terms of the agreement remain confidential

Return of Property: Confirm return of all company property and data

Reference: Specify what the company will say in response to reference requests

Note: Employees over 40 have specific rights under the Older Workers Benefit Protection Act (OWBPA). Failure to comply can invalidate the release.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.