Waiver and Release Agreements Pertaining to Age Discrimination Claims Must Carefully Comply with the Older Workers Benefit Protection Act.
Every day employers terminate employees and pay significant sums to departing workers in exchange for a release of claims. Such agreements can give employers a measure of comfort and certainty while at the same time offering departing employees value and simplicity. However, when a departing employee is 40 years of age or older, and release language is intended to include potential claims under the Age Discrimination in Employment Act of 1967 (the “ADEA”), the agreement must meet all of the requirements of the Older Workers Benefit Protection Act (the “OWBPA”). Wells v. Xpedx, a United States District Court case from the Middle District of Florida, illustrates the potential pitfalls of failing to do so carefully.
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