Legal Question in Employment Law in Utah

Layed off

If my company lays me off and tells me that I can only get the severance pay if I sign a document that I will not sue the company. Do I sign or sue? Makes wondor if the company has something to hide.


Asked on 3/09/08, 9:27 pm

2 Answers from Attorneys

Re: Layed off

Too little information. Do you have any reason to believe the employer is in violation of any employment law? The answer to that can entail the size of your company, the time and manner of the notices given, the reason(s) for the layoff, etc.

That said, it is not uncommon for an employer to require such a document even when the employer has done nothing whatsoever wrong.

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Answered on 3/09/08, 9:42 pm
Alvin Lundgren Alvin R. Lundgren, L.C.

Re: Layed off

Unless you have a contract, Utah is an "at will" employment company. If you are laid off for no cause, you are entitled to unemployment compensation until you get a new job (or time runs out). If the company is offering severance pay and you do not have a specific cause to sue, take the money. Make sure there is no clause which prevents you from applying for unemployment compensation. IF there is such a clause, your severance should be enough to offset what you could have earned.

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Answered on 3/10/08, 10:57 am


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