Executive Separation Agreement Negotiation (Pro-executive)

Summary

Many terminated executives accept far too little in severance and far too much in post-employment restrictions because they believe they have no bargaining power. In fact, executives have far more bargaining power than they realize. This practice note explains the sources of this power and how it is based on the employer's interests and the risks the employer faces when terminating an executive. The practice note also explains how executives can engage in real negotiations with their employer and offers sample talking points to illustrate how this is done. The practice note is written in the second person, with ''you'' referring to the terminated executive. Whenever an attorney is negotiating for the executive, ''you'' may refer to the attorney or the executive.