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Confidentiality Settlement Agreements For Employment Case Sample
Confidentiality Settlement Agreements For Employment Case Sample
The Practical Litigator | 11
Ki Y. Ford and Lee Hornberger
Terminations are hard for everybody. Dont
make them worse by leaving important
details up in the air.
NEGOTIATING AND DRAFTING settlement
agreements in the context of employment disputes
most often focuses on monetary compensation and
other forms of consideration. From the employee’s
perspective, settlement discussions are a highly emo-
tional process directly affecting his or her livelihood
and future. For the employer, the process involves
a multitude of competing business interests. From
either angle, it is crucial that the parties memorial-
ize all material terms of any settlement agreement
in writing. This article addresses signicant terms
and provisions that most often appear in settlement
agreements arising out of the employment context.
SETTLEMENT AGREEMENT TERMS
The
scope of a settlement agreement is determined by
the intent of the parties as expressed in the release.
Rinke v. Automotive Moulding Co., 573 N.W.2d 345-
346 (Mich. App.1997). If the text of the release is
unambiguous, the parties’ intentions will be ascer-
tained from the plain meaning of the release’s lan-
guage. Id. Therefore, the parties should try to stick
to simple, plain English when drafting an agree-
ment. As indicated by Mich. Ct. R. 2.507(G):
An agreement or consent by the parties or their at-
torneys respecting the proceedings in an action, sub-
sequently denied by either party, is not binding un-
Ki Y. Ford is a member of
the Lansing oce of Dykema
Gossett, PLLC. She represents
a broad range of state,
national, and international
clients in the full spectrum
of employment and
discrimination related
matters, including
noncompete claims, EEOC
and other agency charges,
lawsuits involving race,
national origin, sex, same-
sex, age, marital status,
religious, pregnancy, and disability discrimination, ADA Title
III or comparable state law accessibility issues, whistleblower
claims, Fair Labor Standards Act claims, equal pay claims,
unemployment compensation, and wrongful termination. She
can be reached at kford@dykema.com.
Lee Hornberger, a
mediator/arbitrator in
Traverse City Michigan, is a
past President of the Grand
Traverse-Leelanau-Antrim
Bar Association and AV rated
by Martindale-Hubbell. He
is the recipient of Conict
Resolution Services’ 2009
Pinnacle Award and
Community Mediation
Services’ 2009 Certicate
of Appreciation. He has
received Straus Institute for
Dispute Resolution at Pepperdine University School of Law,
Specialized Mediation Training: Handling Dicult Employment,
Medical Malpractice and Personal Injury Cases. He is a mediator
with the U.S. District Court for the Western District of Michigan,
the 3rd, 4th, 6th, 7th, 9th, 13th, 14th, 16th, 17th, 19th, 20th,
22nd, 24th, 25th, 28th, 30th, 33rd, 35th, 36th, 37th, 43rd, 45th,
46th, 51st, and 56th Michigan Circuit Courts, EEOC, Michigan
Department of Civil Rights, American Arbitration Association,
Financial Industry Regulatory Authority, Community Mediation
Services (Gaylord), Conict Resolution Services (Traverse
City), and Northern Community Mediation (Charlevoix and
Petoskey). He can be reached at leehornberger@leehornberger.
com.
This article is adapted from the ALI-ABA best-seller, Defusing
Workplace Time-Bombs (2008 & Supp. 2009). For more
information, go to www.ali-aba.org/bk60.
Settlement Agreements For Employment
Termination Cases (With Sample Clauses
And Forms)
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