RELEASE AGREEMENT BREACH

I was laid off by my former employer in June 03. In return for signing Release agreement, I was offered 7 weeks of pay. I accepted and signed the agreement. After paying 3 weeks of severance, the company stopped payment.I complained to DOL. The company created a letter addressed to me with back date stating my previous manager reported that I did not return company laptop. As such they are stopping severance. They sent this letter to DOL. DOL sent that letter to me and advised me to go the court. The funny thing is in the letter the given manager name is for whom I never worked. As per Severance Plan when severance pay is denied in part or full, I should get a notice giving the reasons and appeal procedures. But I never received any notice. Meanwhile I found out, I got a good retaliation case. Because company breached the release agreement, Can I send a letter to the company that the agreement is void and file a discrimination complaint.

1 answer  |  asked Dec 4, 2003 2:58 PM [EST]  |  applies to Pennsylvania

Answers (1)

Christopher Ezold
You may file a complaint

The issue here is whether the Release has been materially breached. Based on the facts as you present them, the Release has been materially brached by your former employer by (a) failing to pay you all of your severance, and (b) engaging in a bad faith coverup of their failure. Therefore, you may file any valid claims you have against your employer in court or before the appropriate government agency. You do not need to send a letter to the company declaring the Release void unless the Release gives the company a right to notice of its breach and/or time to cure its breach. My opinion is based on what you have related in your question; I have not reviewed your documents, and cannot give you a thorough answer without doing so.

You mentioned retaliation; is your retalation claim based upon the layoff or the breach of the agreement?

If you wish to discuss this matter further, feel free to call me at the below number.

/Christopher E. Ezold/
Nancy O'Mara Ezold, P.C.
401 City Line Avenue,
Suite 904
Bala Cynwyd, PA 19004
(610) 660-5585

posted by Christopher Ezold  |  Dec 5, 2003 08:22 AM [EST]

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