The Termination and Release Agreement is a crucial document used in Irish employment law contexts when formally ending an employment relationship. It is typically used in situations involving mutual separation, redundancy, or negotiated exits, providing a clear framework for the termination process and protecting both parties' interests. The agreement comprehensively addresses all aspects of the employment termination, including financial settlements, ongoing obligations, and releases of claims, while ensuring compliance with Irish statutory requirements. It's particularly important in cases where there might be potential disputes or when the termination involves senior employees, sensitive information, or significant financial arrangements. The document must carefully balance the employer's need for finality and protection with the employee's statutory rights under Irish law, including those under the Unfair Dismissals Acts and various employment protection legislation.
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1. Parties: Identification of the employer and employee entering into the agreement
2. Background: Context of the employment relationship and circumstances leading to termination
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specifies the official end date of employment and final working day if different
5. Payment Provisions: Details of final salary, notice pay, statutory redundancy (if applicable), and any ex-gratia payments
6. Tax Treatment: Clarification of tax treatment of various payments and responsibilities
7. Company Property: Requirements for return of company property and confidential information
8. Continuing Obligations: Surviving terms from employment contract including confidentiality and intellectual property
9. Release of Claims: Mutual releases and waivers of claims, subject to statutory limitations
10. Employee Warranties: Employee confirmations regarding no breach of contract and return of property
11. Reference: Terms regarding future employment references
12. Confidentiality: Obligations to keep the agreement and its terms confidential
13. Entire Agreement: Confirmation that this document represents the complete agreement between parties
14. Governing Law: Specification of Irish law as governing law and jurisdiction
1. Garden Leave: Include when employee is put on garden leave during notice period
2. Post-termination Restrictions: Include when enforcing existing post-termination restrictions from employment contract
3. Legal Advice: Include when employee has received independent legal advice (recommended for enforceability)
4. Share Options/Awards: Include when employee has outstanding share options or awards
5. Resignation from Directorships: Include when employee holds corporate directorships or officer positions
6. Announcement: Include when parties agree to specific internal/external communications about the departure
7. Outplacement Support: Include when company is providing career transition services
8. Medical Insurance: Include when addressing continuation or termination of medical benefits
9. Cooperation in Litigation: Include when ongoing cooperation in legal matters may be needed
10. Non-Disparagement: Include when parties agree not to make negative statements about each other
1. Schedule 1 - Payment Calculation: Detailed breakdown of all payments including salary, notice, statutory, and ex-gratia amounts
2. Schedule 2 - Company Property: Itemized list of company property to be returned
3. Schedule 3 - Claims Being Waived: Comprehensive list of statutory and common law claims being waived
4. Schedule 4 - Surviving Employment Terms: Relevant terms from employment contract that survive termination
5. Appendix A - Legal Adviser's Certificate: Certificate from independent legal adviser confirming advice given
6. Appendix B - Letter of Resignation: Format for formal resignation letter if applicable
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