Can a former employer Recall your Severance Package?

Former employer gave me a Severance Package at the end of my employment, October 2010. The package was a 2009 Lincoln MKX, at that time he said that he would continue to pay the lease payments until the lease was due, which is March 2011, and at that time he would buy out the lease and send me the title.
Currently he sent me a letter requesting that I make arrangements to take over the lease and/or return the vehicle given to me in the Severance Package.

1 answer  |  asked Mar 2, 2011 1:18 PM [EST]  |  applies to Nevada

Answers (1)

Malik AHMAD
A severance package is not a contractual package--it is gratuitous one and given without any consideration. However, if you detrimentally rely upon it, then you can sue for detrminetal reliance which is a remedy for breach of contract. However, litigation should not be initiated because it would infringe on the continuity of the employment. If your employment has ended in October, 2010, you can sue for detrimental reliance. But the cost of litigation would exceed the benefits accrued i.e 5 payments.

posted by Malik AHMAD  |  Mar 2, 2011 1:24 PM [EST]

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